Secondhand boxship prices plunge

Friday, 11 August 2023

blog1

Secondhand boxship prices have dropped between 50% and 75% compared to a year ago, with Alphaliner predicting values could diminish further in the coming months.

As of the start of this month, there have been signs that secondhand prices have been stabilising, but with what Alphaliner described in its latest weekly report as “disappointing” cargo volumes, “depressed” cargo rates on many routes, “huge pressure” from the avalanche of newbuilding deliveries, and a “weakening” charter market, further declines are expected in the coming months.

MORE NEWS : MSC Partners with Valencia to Expand Med’s Busiest Container Port

“Not surprisingly the sale and purchase market is evolving in line with the charter market,” Alphaliner noted, describing prospects for the sale and purchase market as “far from exciting”.

Echoing the dropping boxship values sentiment, brokers Braemar wrote in a recent report: “Growing economic uncertainty and a quickly softening charter market is beginning to weigh on values. Feeder vessels have been the immediate losers but as the charter periods on tonnage in and around panamax sizebands shorten, the values will likewise start to correct.”

Source : https://splash247.com

Tags: