MSC ON A FOUR YEAR VESSEL BUYING DPREE

 

The unmatched scale and growth ambitions of Mediterranean Shipping Co (MSC) is forcing competitors to scramble for tonnage. 

Alpahliner is reporting that MSC has now surpassed 400 secondhand ship purchases since it embarked on a historical buying spree amid the covid pandemic in August 2020. Alphaliner tallies 402 ships, while rival Linerlytica has counted 420 ships. Along with its huge order book, MSC now commands a global liner marketshare in excess of 20%, becoming the first liner in the world to break multiple size records such as surpassing 5m teu, then swiftly afterwards 6m teu. 

Alphaliner listed this week another eight secondhand ships bought by the Gianluigi Aponte-founded liner ranging in size from 1,740 to 8,814 teu. 

MSC’s aggressive moves in the secondhand market have been key in propping up charter rates, according to analysis from Linerlytica. 

“MSC is largely responsible for the shrinkage in the charter fleet, having taken out over 17% of the charter fleet in the past four years leaving its rivals to scramble to secure the remaining open ships, with more fixtures being done off forwards dates that stretch into 2025 and 2026,” Linerlytica noted in its most recent weekly report. 

MSC’s buying binge is still far from over, according to Linerlytica with further acquisitions still on the cards that the Asian consultancy suggested will keep both the secondhand and charter market tight into next year.

Tthe container sector remains the polar opposite of what is being experienced in dormant dry bulk and tankers sale and purchase markets.

“The market continues to thrive with strong interest from buyers, driving competitive negotiations for the available candidates,” noted MB Shipbrokers.