Atlantic Freight Rates Could Collapse As Carriers Ramp Up Trade Lane Capacity

While freight rates have been dropping consistently on most trades, they have remained at high levels on the Transatlantic due to capacity issues. However, according to Sea-Intelligence, this is about to change, as carriers are injecting serious amounts of capacity into the trade lane. From North Europe, capacity growth is scheduled to begin spiking from mid-December 2022, reaching a temporary apex at the end of the month, with capacity growth at 43% Y/Y.

Once we head into February, the current deployment indicates a capacity growth of 48%. Compared…