Maersk sees steep drop in US-China container volumes

Maersk reported a steep 30–40 per cent plunge in container volumes between the US and China in April due to escalating trade tensions, warning that a prolonged dispute could dampen global shipping volumes in 2025. However, the company maintained its full-year EBITDA forecast of $6–9 billion, supported by higher freight rates and ongoing Red Sea disruptions.

CEO Vincent Clerc said Maersk managed to reallocate some volumes to other regions with strong demand but noted that the US-China trade war poses a broader risk to global trade. The group now expects global container growth to range from a 1 per cent contraction to 4 per cent expansion this year.

Maersk’s Q1 EBITDA rose 70 per cent year-on-year to $2.71 billion, surpassing analysts’ expectations of $2.41 billion. The company cited the rerouting of vessels around Africa due to continued Houthi attacks in the Red Sea as a factor sustaining higher freight rates. Despite US President Donald Trump’s claim that Houthis agreed to stop targeting US vessels, the group said it would continue operations against Israeli-linked shipping.

Clerc also voiced concern over US supply chain constraints, citing labour shortages and rising costs, and warned that reshoring manufacturing may not be feasible under current conditions.

Attributi0n: Reuters

Subediting: M. S. Salama