Maersk Expects Container Market Growth

By Siddharth Cavale

NEW YORK (Reuters) – Maersk anticipates a global container market volume increase of up to 7% next year, driven by strong U.S. demand amid possible port strikes and tariffs on imported goods, stated Charles van der Steene, Maersk's regional president for North America, during the Reuters NEXT conference.

"We predict anywhere between 5 and 7% (growth) overall," he noted, indicating no current signs to suggest otherwise.

Houthi attacks in the Red Sea and robust demand from U.S. companies are expected to drive container consumption. The U.S. remains Maersk's largest sales market.

In October, Maersk revised its full-year profit forecast and outlook for 2024 container volume. Its clients include major retailers like Walmart, Target, Asos, and Nike.

The National Retail Federation recently indicated that inbound cargo traffic will hit records in November and December, fueled by anticipated dockworker strikes on the U.S. East Coast and tariff hikes planned by President-elect Donald Trump.

"Part of today’s market strength could be attributed to the psychological impact of pre-ordering linked to tariffs or the potential strike delay until January," explained van der Steene, who took over as president in February.

He mentioned that disruptions in the Red Sea are expected to persist into 2025.

To assist customers, Maersk is analyzing order routes ahead of time to determine optimal shipping methods, whether to the Northeast or West Coast or via air freight, based on products and risk tolerance.

While rerouting from East to West Coast presents challenges in cost and timing, it can be essential for seasonal products.

"We help them define how to mitigate risks based on their order patterns," van der Steene concluded.

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