News
Since the beginning of the year, the capacity of the containership fleet has increased by 1.6 million TEUs, according to a recent report by the Baltic and International Maritime Council (BIMCO). Compared to a year earlier, the fleet capacity has risen 11% to 29.5 million TEUs, the fastest growth in 15 years.
In the first half of 2024, a record of 264 ships with a combined capacity of 1.6 million TEUs were delivered from shipyards, two-thirds more than in the first half of last year when the previous record was set.
High demand for ships has contributed to keeping ship recycling at a low level. Strong cargo volume growth and the rerouting of ships via the Cape of Good Hope have led to the recycling of only 36 ships with a combined capacity of 51,000 TEUs.
Shipowners have continued to place newbuilding orders. Year-to-date, 63 ships with a combined 400,000-TEU capacity have been ordered, and the order book-to-fleet ratio remains high at 19%. The order book contains deliveries in 2028, with an average of 1.5 million TEUs scheduled for delivery each year from 2025 to 2027.
The container fleet capacity is expected to exceed 30 million TEUs for the first time at the end of the third quarter (July-September) and hit 30.5 million TEUs by the end of 2024. By the end of 2027, the current order book will add another 4.3 million TEUs. As cargo volume growth is unlikely to match this expansion, ship recycling is expected to increase and temper overall fleet growth. In addition, if ships can eventually return to the Red Sea and the Suez Canal, demand for ships will fall.
