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Matson cancels China California Express (CCX) service

Time:2022-09-26 Publisher:Kevin Num:3300

At present, due to the continuous decline in cargo volume, the ocean freight to the United States is gradually declining. The shipping company has taken many measures to deal with this.

It is understood that due to the sharp drop in freight rates on the trans Pacific route, Mattson has closed its China California Express (CCX) service before the peak season, which is an urgent service providing direct access to Auckland Port.

At the meeting last month, Matt Cox, CEO of Masson, expressed optimism about the service. It said demand was "still stable". Meisen launched this service in the third quarter of 2021.

He said that Meisen expected the operation of CCX service to "last until the peak season in October", and was optimistic that the demand would be enough to make this service "last until 2023".

"We still believe that because we have differentiated and fast shipping services, our freight rates for China's shipping services will be higher than those before the epidemic, and far higher than the Shanghai Container Freight Index (SCFI)." Matson said at the time.

Matt Cox said to the vast number of shippers that freight rates are continuing to decline, but there has not been a sharp decline ", and the company is expected to have a" moderate peak season ".

However, according to Alphaliner, the last voyage of CCX service was carried out by 2890TEU container "Manukai" and arrived at Long Beach Port on September 20. Now the service has been suspended.

It also said: "The closure of CCX services is not surprising, because the demand for goods on trans Pacific routes has declined significantly in the past few weeks."

In addition, the shipping companies on this route are also suffering from the accelerated transfer of goods to the East, multimodal transport congestion at ports in the West and the United States, and concerns about labor negotiations.

But, according to Alphaliner, the last voyage of CCX service was carried out by 2890TEU container "Manukai" and arrived at Long Beach Port on September 20. Now the service has been suspended.

It also said: "The closure of CCX services is not surprising, because the demand for goods on trans Pacific routes has declined significantly in the past few weeks."

In addition, the shipping companies on this route are also suffering from the accelerated transfer of goods to the East, multimodal transport congestion at ports in the West and the United States, and concerns about labor negotiations.

According to SCFI data, the spot freight rate from Shanghai to Los Angeles/Long Beach Port last week was US $3050/FEU, which has plummeted by about 60% since the beginning of July.

The insiders believe that the spot freight rate of the route will further decline after the golden week.

It is understood that Meisen has deployed three ships between 2900TEU and 4250TEU on the CCX Express service, and has not disclosed how to redeploy these ships.

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