Or take the recent example of Maersk, global shipping giant and freight transportation bellwether, which just announced record underlying earnings. For their second quarter, they announced an EBITDA of $2.3 billion. This number marks a 7% increase from the $2.14 billion reported this time last year. That was well ahead of analysts’ forecasts for $1.97 billion, according to an LSEG poll. This robust performance is a clear signal of resilience amid a challenging and complicated trade environment.
And in describing the picture Vincent Clerc, CEO of Maersk, noted the dichotomy in demand between the United States and the rest of the world. He noted that his own tariffs have deeply harmed U.S. trade. At the same time, the company has benefited from a manufacturing renaissance in China and robust export expansion to nine other world regions. “A lot of it is driven by a manufacturing boom in China and strong export growth pretty much everywhere in the world except for the U.S. during this quarter, where the tariff-on, tariff-off has had some dampening effect,” Clerc stated.
The shipping industry is navigating a new era of trade complexity, exacerbated by U.S. tariffs imposed on several trading partners. In retaliation, they slap a 50% tariff on imports from Brazil. On top of that, they impose 39% tariffs on imports from Switzerland, 35% on Canadian products, and 25% on Indian goods. Their counterparts in the United Kingdom, Japan, and South Korea have all managed to land reductions in their tariff peaks.
Even considering these headwinds, Maersk has updated its outlook for global container market volume growth. It now projects a growth range of 2% to 4%, up from the -1% to 4% forecast done back in March. This planning figure is aligned with the optimism of a confident recovery, as well as growth beyond the borders of our U.S. market.
Clerc emphasized the positive demand trends outside the U.S., stating, “Overall, I think outside of the United States, we see a continued very strong demand and that is fueling the earnings and the upgrade that we were able to do today.”
In reaction to these news flows, Maersk’s shares were up around 4% in morning trading. The company’s container ship, Gunde Maersk, continues to serve vital shipping routes while reflecting the company’s commitment to maintaining robust operations.