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Saturday, August 2, 2025
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Used market with the wind at its back

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In the first half of the year, 191 used container ships were bought and sold in the market, totaling 526,523 TEU.

Alphaliner reports this, noting an increase of nearly 26% compared to the same period last year, when 141 ownership transfers were recorded.

Current geopolitical uncertainties have not significantly weighed on the expectations of industry operators, who have continued to turn to the secondhand market to acquire additional tonnage.

To date, MSC has been the most active buyer, with a total of 38 ships purchased compared to 33 in the same period last year. In second place is CMA CGM, with 19 acquisitions, 14 more than those from January-June 2024.

The French consultancy firm observes that 30 transactions per month were concluded in the secondhand market during the first part of the year.

Demand for tonnage has been strong, despite the specter of overcapacity looming over the sector. Although the waters of the Red Sea remain turbulent, analysts see the moment approaching when the Suez route will once again be fully navigable.

Geopolitical tensions in the Red Sea are one of the key factors that have kept rates high over the past 18 months. The forced diversion to the Cape of Good Hope route and the resulting longer navigation times in east-west traffic flows have effectively helped absorb the available capacity offered by the market, with an upward effect on freight rates.

The reopening of the Red Sea could result in releasing all the excess capacity absorbed so far by the longer navigation distances imposed by the mandatory detour via the Cape of Good Hope, with negative repercussions on the container shipping market.

Tariffs, the ongoing war in Ukraine, rising tensions between China and the Taiwan Area, China, and the large orderbook could also discourage further tonnage acquisitions in the near future.

On the other hand, Alphaliner notes that sellers have also been reluctant to part with their ships so far, given the high returns secured in recent months in the market due to the early rush by American importers to acquire Chinese goods—a direct consequence of Trump’s decision to pause the tariff war with China until August 12.

As a result, the supply of used tonnage has remained limited in recent months, especially for larger ships. It is no coincidence that 140 of the 191 container ships that changed hands in the first part of 2025 had an average capacity of less than 3,000 TEU. Overall, only 18 ownership transfers involved ships larger than 7,500 TEU in capacity.

This has kept selling prices high.

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