Daniel Lexia's questions to AMKBY leadership • Q3 2024
Question
Asked about the supply side dynamics, including whether network schedules are fully adjusted for the Red Sea diversions and for views on the rising order book-to-fleet ratio.
Answer
The CEO explained that while new capacity has been absorbed by longer sailing routes, the long-term outlook is more benign than previously thought. This is due to stronger demand, the potential for slow steaming, an expected increase in vessel scrapping, and the flexibility to return chartered ships. He believes the industry has already dealt with the brunt of new tonnage and now has more flexibility to manage supply.