The Haifa-based liner operator ZIM has made substantial strides in increasing its average vessel size, closing the gap with other top 10 carriers. Over the past year, ZIM’s average vessel size surged by 30.8%, marking the most significant growth among major carriers. This increase reflects a broader trend in the industry, where deploying larger ships to capitalize on economies of scale is becoming increasingly crucial.
According to recent data, ZIM’s average vessel size jumped from 4,395 twenty-foot equivalent units (TEU) in August 2023 to 5,748 TEU in August 2024. This growth coincided with a 25% expansion of the company’s fleet, despite operating with five fewer vessels than the previous year. The strategic replacement of older panamax ships with newer vessels ranging from 5,300 to 7,900 TEU has been a key factor in this transformation. Additionally, the introduction of ten 15,248 TEU neo-panamax vessels into ZIM’s Far East – US East Coast ‘ZIM Container Pacific’ service between February 2023 and April 2024 has further bolstered the company’s average vessel size.
ZIM’s growth stands out in a broader context where the global cellular container fleet, comprising 6,278 vessels, has seen a modest 3.5% increase in average vessel size, now standing at 4,809 TEU. Alongside ZIM, MSC and CMA CGM are the only other top 10 carriers that have outpaced the market average in terms of vessel size growth.
This trend towards larger vessels is particularly evident on Latin America-related trade routes, where there has been a noticeable increase in average vessel capacity. Four of these trade lanes now rank among the top 10 routes globally in terms of average vessel size, reflecting the industry’s shift towards larger, more cost-effective operations.
The global shipping landscape varies significantly by region, with European carriers such as CMA CGM, Maersk, and MSC operating a mix of large vessels and smaller regional and feeder services, which lowers their overall average vessel size. In contrast, Asian carriers, particularly those focused on major East-West trades, boast much larger average vessel sizes. For instance, HMM’s average vessel size nears 11,000 TEU due to its heavy deployment on Far East–Europe and Transpacific routes.
Notably, the largest vessels, including the 18,000 TEU+ megamax class, are predominantly found on the Far East–Europe route, which currently has an average vessel size of 14,655 TEU. However, this figure represents a slight 1.7% decrease from the previous year, attributed to the addition of smaller ships to accommodate longer voyages around the Cape of Good Hope.
As ZIM continues to expand and modernize its fleet, its ability to keep pace with industry giants underscores the dynamic nature of global shipping. The company’s strategic investments in larger vessels highlight its commitment to maintaining competitiveness in a market where scale and efficiency are increasingly vital.
Source: ZIM, Alphaliner
