CASJENS: HAPAG-LLOYD ISN’T RESPONSIBLE FOR VESSEL OVERCAPACITY

CASJENS: HAPAG-LLOYD ISN’T RESPONSIBLE FOR VESSEL OVERCAPACITY    Guenther Casjens, chief executive officer of Hapag-Lloyd Container Line, said that speculative orders for containerships, not orders placed by carriers to move more cargoes, are responsible for vessel overcapacity.
   “Our orders are based exclusively on our long-term planning,” he said at the naming ceremony of the carrier’s latest new ship, the 7,500-TEU “Hong Kong Express,” in Hong Kong yesterday (Nov. 7).
   “Moreover, we make a point of deploying modern tonnage and replacing old units,” Casjens added. He said that Hapag-Lloyd has thus not contributed to further overcapacities, as caused by the many vessels ordered speculatively or to save tax.
   Hapag-Lloyd has just named the third in a series of four new 7,500-TEU ships. It will take delivery of the fourth in the series in the spring of 2003, and will also be taking delivery of four 6,750 TEU containerships at the end of 2003 and beginning of 2004.
   The German shipping line said that its fleet policy “is oriented to the swift growth that it has achieved in liner shipping for many years.” Since 1998, it has put into service an average of two vessels annually.
   Casjens also said that liner shipping has also been adversely affected by the global slowdown.
   “We will still succeed in achieving double-digit growth and a transport volume of 1.9 million TEU in 2002,” he added. “However, the drastic fall in rates will be reflected in our profit, although we will achieve a very satisfactory operating profit.”
   Michael Behrendt, chairman of Hapag-Lloyd, said that his group has spread= its risks effectively with a well-balanced portfolio strategy, “which has contributed to its successful management particularly during downturns.”
   The new “Hong Kong Express,” like its sisterships the “Hamburg Express” and “Shanghai Express,” will be deployed in the Europe/Far East service of Hapag-Lloyd as part of the Grand Alliance.