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Topic of the week: Shipping Industry Rocked by Two Separate Ship Fires
The shipping industry has been rocked by two separate incidents of ship fires in recent days, highlighting the importance of safety and preparedness in the sector. The first incident occurred on the Maersk Marie, an 18,250 TEU container ship, which detected smoke coming from containers on deck while en route from Rotterdam to Tanjung Pelepas, Malaysia. The crew of the vessel, which is reportedly in stable condition with all machinery, steering, and navigational equipment fully operational, has been working to contain the incident with firefighting systems and external assistance.
Meanwhile, the fire-stricken box ship Wan Hai 503, which suffered a blaze in June, has been denied port of refuge status by Sri Lanka, joining India in rejecting entry. The vessel, which is seeking an alternative port, will need to be towed outside Sri Lanka's exclusive economic zone. Discussions are underway to determine the most effective towing arrangements to reduce risks and minimise transit time. Possible destinations are still being evaluated.
The incidents come as a warning to exporters from Asia to North Europe to "be mindful of possible export schedule changes, schedule delays or re-routings of cargo utilising alternative Gemini departures," according to Lars Jensen, chief executive of Vespucci Maritime. Recent years have seen a spike in reported ship fires, with notable examples on box ships including the Maersk Frankfurt off the Indian coast last July, the MSC Capetown III at Colombo and YM Mobility at Ningbo port in China joining the list a month later.
The Maersk Marie, which is sailing off the Liberian coast, has been diverted towards the West African shore to secure landside support as quickly as possible. The crew is following all necessary safety and firefighting procedures, and two tugboats with firefighting equipment have reached the ship. The vessel's safe passage is a testament to the importance of vigilance and preparedness in the shipping industry, particularly in the face of rising concerns over ship fires and safety.
The Wan Hai 503, which is still recovering from the June blaze, is a stark reminder of the devastating consequences of ship fires. The incident, which resulted in the loss of four sailors, presumed dead, highlights the need for continued investment in safety measures and emergency response planning.
As the industry continues to grapple with the challenges posed by ship fires, it is clear that the importance of safety and preparedness cannot be overstated. The recent incidents serve as a reminder of the need for vigilance and cooperation among all stakeholders to ensure the safe and efficient movement of goods around the world.
Sea:
- Over the last two weeks China/East Asia to North America West Coast spot rates have decreased by 9.2% from $2,334/FEU to $2,119/FEU according to Freightos data.
- China/East Asia to North America East Coast spot rates have fallen over the last two weeks, decreasing by 13.2% to $3,571/FEU.
- Global container spot prices have fallen over the last two weeks, and are now sitting at $2,203/FEU, a 7% decrease over the last two weeks and a 59.5% decrease from spot rates this time in 2024 according to the Freightos Baltic Index (FBX)
Air:
- Global Air Freight spot rates currently sit at $2.39, as rates continue to fluctuate according to the Freightos Air Freight Index (FAX)
- Europe to Northern America spot rates currently sit at $1.76 (100-3000kg), says FAX, decreasing by 0.56%.
- Europe to Asia, Greater China spot rates currently sit at $1.15 (100-3000kg), says FAX, increasing by 2.6%.
