Tonnage flood threatens as order deferrals fall to pre-downturn levels

THE risk of oversupply of containerships is growing because cancellations and order postponements will do little to reduce the flow this year, according Paris-based maritime analysts Alphaliner, whose research shows 2011 cancellations and delays will return to pre-downturn levels - five per cent - following the dramatic cutbacks of 2009 and early 2010.


"Cancellations have practically ceased since June 2010, and account for only 14 per cent of the orderbook at the beginning of 2009," said Alphaliner.


"Forty per cent of the existing orderbook are contracts placed after 2009. Most are fully funded and ordered at attractive prices. Cancellations are unlikely," said its weekly newsletter.
(Source:http://www.schednet.com)