EVERGREEN THE 'GREENEST' TRANSATLANTIC CARRIER, BUT IS BIGGER STILL BETTER?

Evergreen has topped the carbon efficiency ranking in the transatlantic trade between North Europe and the US east coast, according to the latest Xeneta ‘naming and faming’ study.

 

evergreen-ever-glory-port-of-rotterdam-authority-e1564044596487-1024x468

 

In Q2 23, the route saw dramatic improvement in its carbon efficiency index (CEI), Xeneta and Marine Benchmark’s preferred metric for measuring emissions performance. It improved by 10%, bringing the 99.7 points recorded in Q1 down to 90.3.

 

Xeneta suggested this was down to major CEI performance improvement by Cosco, which came second, and OOCL in third, with scores of 73.7 and 79, respectively, lifting the tradelane average. Evergreen and OOCL both improved by 7% from Q1 to Q2 2023. COSCO leapfrogged OOCL in the ranks to go 2nd after improving 19%.

 

The prodigious average size (13,700 teu, more than double the average on the trade) and slower speed (1.1 knots less than the 14.3-knot trade average) of each Evergreen vessel boosted the carrier’s ranking through Q2.

 

As the first shipping line to break the 24,000 teu barrier with a series of vessels ordered last year, Evergreen has long pursued a ‘bigger-is-better ‘strategy. However, there are signs that the pendulum may at last be swinging back the other way.

 

Xeneta Chief Analyst Peter Sand told The Loadstar that the “majority” of recent containership orders – including for 24 methanol-fuelled vessels Evergreen ordered in July – were in the “more flexible” size bracket of 12,000 to 16,000 teu.

 

“I think we have reaped the benefits of going from 10,000-15,000 teu, through to 24,000,” he said.

 

But asked if sizes had reached the point of diminishing returns, Mr Sand said efficiencies of scale were “…improving more slowly as the ships get bigger”. He added: “You limit yourself to operating mainly on the front hauls. A [theoretical] 50,000 teu ship would be far from twice as efficient.”

 

Source: theloadstar.com by Charlie Bartlett


Related News

Maersk faces high-profile shipper complaint
Maersk faces high-profile shipper complaint

1437 Views

Maersk is the latest carrier to face the ire of American shippers in a high-profile case that will spark greater debate about global carrier dominance in international trade.

 

Zim’s long-term charter strategy is outgunning its rivals
Zim’s long-term charter strategy is outgunning its rivals

1552 Views

Through its brokers, Zim has made it known to containership owners that it is prepared to outbid competitor lines to secure charter tonnage.

Taipei joins chorus to curb container freight inflation
Taipei joins chorus to curb container freight inflation

2943 Views

The Taiwanese government has joined its counterparts in China, US and South Korea, intervening to cool the overheated container shipping market.


Comment
  • Your review
main.add_cart_success