Despite reports that some major US importers have decided to resume shipments out of China to the US, shippers on the trade received another capacity blow when it was revealed that the Ocean Alliance is to withdraw its newest transpacific service.
According to liner database eeSea, the PSW11 service is to be suspended indefinitely, following the dramatic drop in cargo bookings in the immediate aftermath of President Trump’s tariff announcements.
“The PSW11 suspension is a direct consequence of the escalating trade tensions between the US and China,” analysts at eeSea wrote.
“Launched in early April, the PSW11 service was operational for barely a month. Initially planned to deploy seven vessels, only three managed to sail.”
The Ocean Alliance – comprising CMA CGM, Cosco, OOCL and Evergreen – unveiled the PSW11 as the group’s newest transpacific service at the beginning of the year.
It was clearly intended to ape the success of the express transpacific services pioneered by Matson, Zim and CMA CGM subsidiary APL, with a port rotation of Kaohsiung-Xiamen-Yantian-Long Beach on a trim 42-day round-trip transit.
However, so far only the 8,500 Cosco Thailand, on the service’s launch sailing, has managed to complete a round-trip and, according to eeSea, has now been redeployed to the joint Cosco-OOCL Asia-west coast South America WSAS5 service.
Two other vessels – the OOCL Utah and OOCL Southampton – are currently en route to Long Beach, but do not appear to have assignments beyond these voyages.
Meanwhile, eeSea has confirmed the service has been withdrawn from Cosco and OOCL’s long-term schedules and said it would lead to a loss of around 61,000 teu capacity from the transpacific trade.
“The PSW11 suspension epitomises the fragility of global trade,” said eeSea. “With no resolution in sight, carriers must navigate a landscape of the tariffs, port fees, and retaliatory measures – all while balancing capacity and profitability.
“This suspension is likely to be temporary, and might only exist as long as the tariffs do, but will definitely leave a mark on the transpacific trade,” it added.
