How shipping behemoth Maersk is navigating the global container crisis
It's a turbulent time for the shipping industry, which is dealing with surging consumer demand, a shortage of containers and bottlenecks at ports.
Maersk, the world's largest container shipping company, has seen higher volume and record profits as shipping rates have skyrocketed. The Danish shipping firm, whose customers include Walmart and Nike, announced in May that its first-quarter revenue increased 30% from a year earlier to $12.4 billion.
"It's tighter now than it's ever been, and it's not looking to loosen up anytime soon," said Alan Murphy, CEO of marine consulting firm Sea-Intelligence.
Maersk has a fleet of over 700 ships and handles 1 in 5 containers shipped by sea. The company owns terminals around the world and has a growing land-based logistics business. On average, a Maersk container ship calls on a port somewhere around the globe every six minutes.
But with vaccine rollouts in place in the U.S. and consumer discretionary spending shifting toward services, will Maersk and its rivals be able to maintain their momentum? And what do bottlenecks at ports and higher freight rates mean for U.S. consumers?
Watch the video to find out what's next for Maersk.
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