THE New World Alliance has announced it will reduce capacity on selected transpacific routes to coincide with Chinese New Year factory shutdowns.
New World members, APL, Hyundai and MOL, said the winter deployment programme is expected to last six weeks. "We'll review demand and capacity again well in advance of the peak shipping season," said APL president Eng Aik Meng. "As conditions warrant, we'll re-introduce capacity."
Winter deployment programmes are routine for alliance carriers and the transpacific trade in general, where Asian exports slow significantly during Chinese New Year holiday break.
Factory closures sharply curb the production of finished goods, which are a staple of the trade. Alliance members said factory closures this year are expected to be longer than usual, perhaps three or four weeks.
Alliance carriers said they will reduce capacity during the period by selectively omitting sailings on the SAX, PSW, PCX and PCE services. They said other services may be adjusted to ensure complete port coverage and that customers will be notified ahead of deployment changes.
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