Subscribe to our free, weekly email newsletter!


Global Port Tracker report points to flat growth amid difficult circumstances

By Jeff Berman, Group News Editor
October 26, 2011

Growth prospects in Northern Europe remain stalled, according to the most recent edition of the Global Port Tracker Report from Hackett Associates and the Bremen Institute of Shipping Economics and Logistics.

Ports surveyed in this report include the six major container reports in North Europe: le Havre, Antwerp, Zeebrugge, Rotterdam, Bremen/Bremerhaven, and Hamburg.

The report stated that total container volumes at these ports were estimated to have decreased by 0.9 percent in August from July to 3.42 million TEU (Twenty-foot equivalent Units), with August up 4.5 percent year-over-year and 8.5 percent year-to-date through August—and year-to-date imports and exports up 10.1 percent and 7.6 percent, respectively. And on a sequential basis, the 1.98 million TEU imported into Europe and the 1.48 million TEU exported out of Europe were down 0.6 percent and 3.2 percent, respectively, from July.

For the calendar year 2011, the report’s authors are calling for total import growth to be up 7.3 percent, with imports into North Europe to be up 8.9 percent. Despite this projection, total growth, according to the report, is forecasted in one of the next six months, and annual growth is anticipated in four of these months, with double-digit growth expected in three of them.

These projections come against the backdrop of a very difficult financial situation in Europe, which includes the financial crisis in Greece, and the Eurozone meeting being held this week among leaders of European nations to help resolve the European debt crisis.

“It does not look like at this point the Eurozone meeting is going to solve the existing problems as there is too much disagreement,” said Ben Hackett, president of Hackett Associates. “Without an agreement, it spells a major crisis for the Euro and will probably leave Greece hanging out on its own, with Spain and Italy not far behind. It will be make or break for Greece with the Euro not far behind.”

What’s more, the potential impact on global trade due to these circumstances could be devastating, said Hackett, as it could cause a financial crisis as the banks try to avoid losing huge sums of money on Greece and loans, coupled with consumers cutting back on non-essential purchases altogether.

Given this tenuous situation, Hackett explained that the numbers in August, despite the many issues occurring at the moment, are a testament to how well Europe is holding up compared to North America, with solid year-to-date numbers for international trade.

“The fourth quarter, though, is showing some weakness so far compared to previous quarters,” said Hackett. “Growth in Europe has been pretty flat since July, with some seasonal weakness in effect.”

About the Author

Jeff Berman headshot
Jeff Berman
Group News Editor

Jeff Berman is Group News Editor for Logistics Management, Modern Materials Handling, and Supply Chain Management Review. Jeff works and lives in Cape Elizabeth, Maine, where he covers all aspects of the supply chain, logistics, freight transportation, and materials handling sectors on a daily basis. .(JavaScript must be enabled to view this email address).


Subscribe to Logistics Management magazine

Subscribe today. It's FREE!
Get timely insider information that you can use to better manage your
entire logistics operation.
Start your FREE subscription today!

Recent Entries

For the fourth quarter of 2014, UPS said it anticipates adjusted diluted earnings per share of roughly $1.25, with full-year 2014 adjusted diluted earnings per share at $4.75, which represents a 3.9 percent annual gain over 2013’s adjusted earnings per share of $4.57, with full-year 2014 diluted earnings pegged at around $3.28 per share, which is 28.9 percent below 2013’s $4.61.

In recently issued research and data, JLL pointed out that its market data indicates rents are on the rise, with companies on the hunt for warehouse and distribution space.

U.S. Carloads were up 0.3 percent annually at 290,963, and intermodal at 260,893 containers and trailers dropped 2.4 percent compared to the same week last year.

Researchers say the ships are operating in international waters with a "worrying lack" of regulation, adding that they could pose a threat to regional peace and stability.

Compared to November, spot market freight volume was up 3.0 percent, according to the DAT North American Freight Index.

Comments

Post a comment
Commenting is not available in this channel entry.


© Copyright 2013 Peerless Media LLC, a division of EH Publishing, Inc • 111 Speen Street, Ste 200, Framingham, MA 01701 USA