Shenzhen: United Arab Shipping Co (UASC) is on a tremendous expansion charge on the transpacific trades, a top liner analyst told the TPM Asia conference in Shenzen today. The Kuwaiti-headquartered liner has more than doubled its capacity on the transpacific in the past 12 months, according to Hua Joo Tan, executive consultant at Alphaliner. Moreover, the capacity surge is set to double again next year, he said. UASC is adding to the overcapacity hitting the Asia-US tradeline, Tan said.
Overall transpacific capacity has grown by 8% this year, with capacity management on the tradeline described as virtually non-existent by the Alphaliner executive. Spot rates on the transpacific are as low as $1,500 per teu at the moment. [16/10/13]