Pacific International Lines (PIL) has chartered one of its ships to Hapag-Lloyd for three years, as the Gemini Cooperation’s tonnage predicament continues.
Clarksons said the 2009-built 4,211 teu Kota Layang has been fixed to the German liner for $35,500 a day for 36-38 months, and EconDB shows Singapore-based PIL has deployed the ship on its China-Vietnam-India service.
High charter rates, seemingly incongruent with downward pressure on freight rates, are driving operators to let out surplus vessels. Maersk, Hapag-Lloyd’s Gemini partner, has extended a TS Lines’ ship for three months, paying the same staggering daily rate of $150,000, amid the partnership’s apparent shortage of tonnage.
Last week, the Danish carrier reportedly extended the hire of the 7,092 teu TS Mumbai from the Hong Kong-based operator, and has taken Global Ship Lease’s 6,080 teu GSL Vinia for $40,000 a day for three years.
TS Mumbai, assigned to an Asia-Central America service, was committed to PIL for a five-year period in November 2023, just before the Houthi crisis sent freight and charter rates rocketing. TS Lines relet the ship to Maersk for a three-month term, soon after its ex-yard delivery last August.
Hapag-Lloyd has also been fixing feeder vessels for Gemini intra-Asia shuttle routes. The German line took Marfret’s newly built 1,930 teu Durande for $20,750 a day for two years, and according to Linerlytica, has chartered Asean Seas Line’s 1,578 teu ASL Xiamen in an off-market transaction.
With many larger ships already snapped up, charterers’ focus is increasingly on feeder vessels. Cosco is said to have taken Costamare’s 2,586 teu Lakonia for $23,500 a day for two years.
MB Shipbrokers said the market was still busy, with uncovered demand across all tonnage segments and rates firming for feeder tonnage.
It said: “Continued talks were taking place for the largest tonnage, with the few open 2025 positions subject to discussions. The tariff situation and USTR are not making these talks easy or quick – thus we will likely need to wait a bit before we see any confirmed transactions.”