US-China trade war détente should bolster boxship charter market
- Resumption of transpacific cargo flows will boost short-term demand for chartered tonnage and remove downside risk
- Despite US-Houthi ceasefire, liners have no imminent plans to return to the Red Sea, further delaying headwinds for the charter market due to oversupply
- Charter rates are still very healthy, although slightly down in recent weeks; charter activity has increased but durations have declined
The containership charter market has been surprisingly resilient in the post-pandemic era. With downside risk from the trade war abated and no plans yet for carriers to return to the Red Sea, the winning streak looks set to continue
