Maersk’s APM Terminals operations at the Suez Canal Container Terminal are close to completing investments to boost traffic flows through the region. These include a new truck tunnel and come as the Suez Canal has generally seen increasing traffic flows.

Panjiva analysis of official data shows the number of vessels transiting the  Suez Canal climbed 5.6% year over year in the 12 months to Apr. 30. Yet, that’s been largely driven by commodity shipments with crossing by tankers having risen 11.9% while container-ships have declined by 0.8%. Maersk’s new facilities may help turn the latter around.

Chart segments change in traffic through the Suez Canal by vessel type. Calculations based on Suez Canal Authority data.   Source: Panjiva

The majority of usage for the Canal though is for Asia to Europe / Americas shipping though. In that regard Suez has continued to outpace the Panama Canal with a 6.5% year over year expansion in traffic in the month of April versus Panama’s 0.8% decline. The latter has continued to prioritise larger neopanamax vessels, which increased by 14.5%, resulting in a likely 3.5% rise in tonnage.

Chart compares change in traffic by canal. Calculations based on Suez Canal Authority and Panama Canal Authority data.   Source: Panjiva

Both Canals will face a challenge from the worsening U.S.-China trade war, discussed in Panjiva’s research of May 16. Competition for traffic to the U.S. east coast will be particularly fierce. Growth in volumes from eight Asian countries to the U.S. east coast have outperformed those to the west coast in five of the past six months, Panjiva data shows, with a 15.9% surge in April compared to a 4.9% slide in shipments to the west coast.

Chart segments U.S. seaborne imports from eight Asian markets by coast of port of unlading.   Source: Panjiva