News / Slow demand and overcapacity driving a forwarder 'race to the bottom'

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Continuing uncertainty over the global economic outlook has left forwarders facing double-digit declines, leading some to a “race to the bottom”, as spare capacity spikes.

Alphaliner noted another 200,000 teu of ocean capacity hit the market in July, after June’s record-breaking 300,000 teu, leaving carriers at a loss as rates continue to fall.

And there are expectations of a similar impact on air, as holidaymakers return with a vengeance, swelling belling capacity.

One forwarder operating ...