Container volumes shipped by Singapore’s Neptune Orient Lines (NOL) fell 24 per cent from 15 November to 26 December over the same period in 2007, reported Lloyd’s List.
That period saw NOL’s carrier line, APL, move only 218,100 FEU (40-foot equivalent units).
“The decrease in container shipping volumes in period 12 of 2008 is a result of the rapid deterioration in demand on all major trade lanes and pro-active capacity management by the company to reduce costs,” the company said.
The fall in business roughly matches NOL’s own reduction in capacity. The line began to lay up ships in November, reducing capacity on Asia-Europe routes by 25 per cent and Pacific routes by 20 per cent.
Further unspecified cuts are apparently planned, part of the company’s plan to save US$200m this year by mothballing vessels.
NOL said it expects to have made an operating loss in the fourth quarter of 2008.
The company cut 1,000 staff last last year, about 9 per cent of its total, in an effort to reduce costs.
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