C.H. Robinson said ocean freight capacity is forecasted for growth.

The global logistics company noted that overall, ocean vessel capacity continues to trend higher than demand, keeping rates from significant increase.

As such, it noted that the steamship lines would continue voiding sailings and slow steaming — allowing them to allocate more vessel/capacity per service and save on bunker costs.

"Carriers are now implementing more slow steaming strategies in order to save on fuel costs and address overcapacity. This will certainly impact transit times for shippers across Asia and global routes," said Vincent Tan, director of ocean services Asia.

In the first edition of the C.H. Robinson "On The Move" quarterly newsletter, the company said the Transpacific market is also expected to remain strong through August with high vessel utilisation, with vessels reporting full capacity several weeks out.

"Despite a rather moderate demand uptick during peak season, carriers in the Transpacific lane have managed four consecutive rate increases. It is a good reminder of how capacity management from the carriers, combined with the momentum of external events — such as port congestion and Panama Canal restrictions can quickly shift the balance of supply and demand," Tan added.

Meanwhile, C.H. Robinson also noted that air cargo rates remained stable — particularly in Asia.

"In Asia, air cargo demand remains soft for general cargo due to a traditionally slack season. Regional airlines also experienced a decrease in air cargo volumes by 3.6% in June 2023 compared to the same month in 2022," the report said.

Adding this is expected to continue into September, prior to the anticipated improvement towards the end of the third quarter.

"With the annual uptick in passenger flight capacity due to summer travel, ample passenger capacities have been added. We are also seeing freighter capacity issues being alleviated as a result," said Vincent Wong, director of Air Freight Asia.

With demand remaining low and increased indirect passenger capacity, freighter cancellations are common. 

The newsletter noted that cargo rates are also expected to improve after the end of August and into the end of the third quarter.