Projections for expansion of global container terminal capacity over the next five years have fallen to about 10% of current capacity, well below expected demand, according to shipping consultancy Drewry. Utilisation rates are expected to increase as a result. About 125 million TEU will be added to terminal capacity by 2022, representing 2% growth annually. Lower returns on investment and rising industrial and geopolitical risks are the main reasons for the forecast, Drewry said, adding lack of investor confidence in greenfield sites as a significant problem. The port is also facing competition from other ports around the world.
Projections for expansion of global container terminal capacity over the next five years have fallen to about 10% of current capacity, well below expected demand, according to shipping consultancy Drewry. Utilisation rates are expected to increase as a result. About 125 million TEU will be added to terminal capacity by 2022, representing 2% growth annually. Lower returns on investment and rising industrial and geopolitical risks are the main reasons for the forecast, Drewry said, adding lack of investor confidence in greenfield sites as a significant problem. Expansion projects on greenfield sites have fallen from 134 in 2009 to 83.