In the latest insights shared by BIMCO’s “Shipping Number of the Week,” Chief Shipping Analyst Niels Rasmussen sheds light on the relentless growth of container ships, emphasizing a significant surge in vessel size. Currently, a mere 626 container ships command a remarkable 36% of the fleet’s capacity, a trend poised to persist as larger vessels dominate future orders.
Rasmussen projects a compelling outlook, envisioning an average container ship size surpassing 5,000 TEU (Twenty-foot Equivalent Unit) by the close of 2025. He anticipates that two segments will collectively contribute over 40% of the fleet’s capacity, underscoring the escalating dominance of large-scale vessels.
The trajectory of vessel expansion is striking; since 2006, the average container ship has doubled in size, reaching an impressive 4,580 TEU. Notably, ships exceeding 12,000 TEU capacity have spearheaded 51% of the fleet’s capacity expansion. This amplification in size underscores a paradigm shift in container shipping dynamics.
A pivotal moment in this evolution occurred in August 2006 with the debut of the Emma Maersk, heralded as the world’s largest container ship. Measuring 400 meters in length and boasting a capacity of approximately 17,800 TEU (initially 14,000 TEU), it marked a significant leap from its predecessors. This monumental vessel set a new standard, dwarfing its precursor, which had a capacity of 9,500 TEU and was delivered just months earlier.
Despite initial skepticism, the emergence of vessels like the Emma Maersk catalyzed a revolution in container shipping. A subsequent category, the Post Panamax, emerged, characterized by its mammoth size, surpassing the dimensions of the Panama Canal locks inaugurated in 2016. These giants, with capacities exceeding 17,000 TEU and reaching up to 24,000 TEU, have redefined the industry landscape.
Accompanying these behemoths are the Neo Panamax vessels, engineered to navigate the new Panama Canal locks, boasting capacities ranging from 12,000 to 17,000 TEU. These innovations have not only optimized cost efficiencies but also significantly reduced greenhouse gas emissions, a crucial environmental consideration.
Rasmussen underscores the pivotal role played by these colossal ships, driving substantial reductions in both construction costs and greenhouse gas emissions per TEU compared to smaller counterparts. Moreover, despite the surge in vessel size, liner operators have managed to expand service frequency and coverage, compensating for reduced sailing speeds.
Looking ahead, Rasmussen foresees continued growth propelled by Neo Panamax and Post Panamax ships, with estimates suggesting that these segments will contribute nearly 70% of the capacity on order. As the industry braces for further expansion, the average container ship is poised to exceed 5,000 TEU by 2025, underscoring the enduring reign of size in container shipping dynamics.
Source: Safety4Sea
