The world’s largest container lines are on course to post profits in 2022 that will top last year’s record by 73%, according to a new forecast.
Net income this year will likely reach $256 billion based on the 11 carriers monitored by industry veteran John McCown, the founder of Blue Alpha Capital. That’s an increase of $36 billion from his prior estimate in April and roughly equivalent to the gross domestic product of Portugal. The figure last year hit an all-time high of $148 billion, according to McCown.
“These profit increases are being driven by continuing increases in the rates in contracts that cover the large majority of loads actually moving on ships,” he said in an email. Even though spot rates have declined all year, they represent a small fraction of overall seaborne freight costs, McCown added.