News / Harsh reversal of fortune for containership owners as charter rates tumble

ID 21732899 © Luis Lopes Silva | Dreamstime.com

Ocean carrier optimism is being driven by higher freight rates and cheaper fuel – but tumbling charter hire costs are proving to be the icing on their cake.

According to a recent Alphaliner report, containership daily hire rates have slumped by up to 50% since the coronavirus pandemic wrecked global demand and led container lines to off-hire surplus tonnage and decline extension options.

“Tonnage providers are looking at a bleak near-term future, with no immediate kickers to push earnings back up,” said ...