Additionally, mega-ships operate more efficient with annual savings of approx. — $ 50 per slot. Compared to a 16,000 TEU vessel, a mega-ship with 19,000 TEU would save close to 1 million USD. But according to the OECD, the real savings are on fuel bills because mega-ships consume less fuel on a voyage then 16,000 TEU vessels.
The supply of empty containers is under enormous pressure and reflects a historic challenge our entire industry is facing. The unprecedented speed with which the COVID-19 pandemic has impacted economic developments becomes clear in a conversation with Nico Hecker and Christian Halgmann from Container Steering. We are sitting in front of the container utilization chart of the 40-foot container fleet and see a very clear “V”-shape in the development curve. “From the third quarter onwards, things really started to get challenging,” says Nico Hecker, Director Global Container Logistics. While the demand in the second quarter was extremely low and we were searching for strategic and cheap storage places for containers, the demand for equipment has now increased tremendously. Hard to believe that in early July 600,000 TEU of 40’ containers were “empty on ground” And today? “The 350,000 TEU sitting on ground are hardly covering 2 weeks of global export volumes – ”.
A “Black Swan” has appeared
“We are currently seeing a ‘black swan’ and are experiencing the strongest increase in 40’ demand following one of the strongest decreases in demand ever. Both happening within just 6 months. Almost 3 out of 4 containers in our 40-foot fleet are currently deployed in Customer Shipments and is therefore not available for the time being. The containers must be returned to China as quickly as possible to be equipped for an expected strong fourth quarter”, explains Hecker.
The maps and tables below show 2019 international container shipping rates & costs for moves originating in the US, UK, Canada and Australia. You can jump to the relevant section using the following links: US, UK, Canada, Australia, 20ft vs 40ft Containers, LCL vs FCL, Land Freight, Sea Freight. Giant Lock Box has 20' and 40' Open Sided Shipping Containers for sale with full open-sided container doors. Open sided storage containers are a good alternative for customers that need special access to load and empty their containers from the side. Bay – a space in the ship that can hold containers, container ships has several bays, these bays are divided into two parts: on-deck and under-deck (hold). If the bay number is odd it is suitable for 20 feet containers, if the bay number is even it is suitable for 40 feet containers. There are even reports of ships vessel bunching off the West Coast, essentially waiting for a slot to open at the port so they can drop anchor and unload merchandise. The surge is leading to an increase in rolled containers and caused c arriers to prioritize getting empty containers back to Asia quickly, instead of those containing exported.
“Considering this enormous and unprecedented pressure, optimizing container utilization and availability is not a task for one department but a task for the entire company,” he continues. “We all have to exchange ideas and decide which businesses we want to push primarily.” Do we deliberately want to transport empty containers instead of cargo to speed up availability in Asia? Will our customers accept it if we transport their cargo in other container types? The development mainly affects the 40-foot standard high-cube container. This container is mostly booked for consumer goods. And it is now in higher demand than ever before.
Lucky us: Hapag-Lloyd started planning early
“We were the first mover in 2020 by placing an order for 91,000 TEU new HL branded containers in January already for production from March to July. In addition, 80,000 TEU were leased in March, even though the expected increase did not yet become apparent in April, as many countries outside Asia went into lockdown. Supported by our leasing partners involved, we have delayed the pick-up of the containers to the 3rd Quarter creating a competitive advantage”, says Christian Halgmann, Director Container Procurement. “These very containers helped us a lot in the third quarter when it came to buffering the current rush in the market,” says Nico Hecker. With the return of normality, business developed particularly positively in the third quarter. But the ships leaving China are not returning at the same time to the same extent. “The leasing market for new and used containers in Asia, Europe and other demand Areas is basically empty,” continues Halgmann. “Currently the demand for new containers is exceeding the production capacity by far, resulting in lead times for newly built containers until end of Q1/2021. This applies for own production as well as for leased containers. Fortunately, in September we could secure some leasing volume to be delivered prior to Chinese New Year 2021 to support our customers.”
Rethinking and staying flexible: What is crucial now?
The current situation makes it particularly clear that the shortage of empty equipment is affecting all areas of Hapag-Lloyd already today. Once the containers are empty, they must be refilled as quickly as possible. Currently, we are doing that 25 percent faster than usual. Every container counts! And in order to manage this optimally, colleagues from all departments have to do their part, be that Trade Management, Network, Operations, and Commercial teams. Together they take unconventional paths for Hapag-Lloyd’s customers. For example, 40-foot reefer containers that have been switched off (so-called Non-Operated-Reefers) are filled with dry goods like textiles, shoes, or electronics to Reefer demand locations. 20-foot containers and 45-foot containers will likely be the next types offered as a substitute for 40-foot containers, to take advantage of all containers that we have.
44 vessels deployed to move empty containers
Whether High Cube or Reefer: Bringing empty containers and open space on our ships towards Asia together is one of the critical success factors. Container Logistics and Slot Control Team in all Regions are working closely together to make sure no slot remains unused. “30,000 TEU of empty containers are lifted towards Asia week-by-week, with a strong push for more,” says Nico Hecker. “When we don’t succeed in meeting evacuation demand, we are chartering extra ships to get the empty containers to their destination. This is not cheap and at this moment a limited option – as charter vessels are extremely scarce as well.” Since the beginning of this year, we moved 164,000 TEU of empty containers on 44 vessels, which were deployed for empty loader voyages.
“Every area globally has to tighten their belts and working on a smaller safety buffer,” says Nico Hecker. “We have to reduce empty idle times even further and shorten loading times, which means that the container is only available for exporters seven to eight days before the ship arrives. Better availability of containers is THE competitive advantage in this prevailing market environment. All teams involved are aware of it and that is what drives us.”
Mid or medium slots or are a category of module slot found on ships in EVE. Generally, mid slots contain activatable modules that may assist in tackling, propulsion, or generally improve the ships behavior. Shield tanking modules occupy mid slots. Some mid slot modules share purposes with low slots, but the details of their use differ.
This page is a collection of all the types of modules that use mid slots.
These modules will restore capacitor energy.
Boosters are generally preferred for PvP ships since they work well against capacitor neutralizing. For your exact needs, experimenting a fitting tool will show which will serve you best.Compare to engineering rigs and low slot capacitor modules.
These modules will increase the ability to damage ships, though not necessarily the amount of damage dealt.
Compare to missile and turret rigs and low slot damage application modules
These modules will increase the performance of drones.
Compare to low slot drone modules.
These modules can mess with enemy ships ability to damage you, or increase the ability of your own ships to damage them. See EWAR Guide for more details on these modules.
These modules are the primary ways to increase a ship's velocity. For more information see Propulsion equipment.
These modules provide information about things around you, or allow you to hack.
These modules improve the ability to use scanning probes.
These modules will restore, extend, or increase the resistance of your shields. Finding a proper balance between shield extenders, shield hardeners, and shield rechargers is essential for a passive shield tank.
Compare to shield rigs.
These modules will reduce the velocity of enemy ships and prevent them from warping. See Tackling Guide.
These modules did not fit into the above categories.