New World Alliance considers suspending Pacific loop
The New World Alliance is considering ending its weekly China/Hong Kong/U.S. West Coast “PSV” service as the transpacific peak season ends.
“We are discussing the wisdom of doing this with our partners Mitsui and Hyundai,” said Bob Sappio, head of the transpacific at APL.
The “PSV” is a peak-season service of the New World Alliance, and is aimed at handling some of the extra volumes during the busiest months of the summer and fall. Sappio said no decision has been made on suspending the service.
“We had a fairly good summer,” he told American Shipper, adding that this year’s peak season is now ending. But Sappio also forecast “bullish” eastbound traffic volumes for December and January. APL expects further strong Asia-to-U.S. volumes to result from the combination of the usual end-of-year export rush, the potential reduction of China’s export tax rebates in January, and pre-holiday advanced shipments from Asia before the factory closures on Chinese New Year in late January.
Sappio also alluded to improving U.S. economic indicators, including Wednesday’s report of a 7 percent increase in third-quarter gross domestic product.