The world’s largest container shipping company, A. P. Moeller-Maersk A/S a Danish conglomerate, is voicing concern that a potential shift in U.S. policy threatens to reduce global trade.
“In general, trade barriers weaken global growth,” said CFO Trond Westlie, in an interview on August 13. “Low trade barriers not only help trade growth, but also economic growth.”
Maersk transports about 15% of the manufactured goods that are sent across the globe each year, making it the world’s biggest container shipping line. Maersk Line lost $151 million last quarter, down from a profit of $507 million a year earlier, as freight rates plunged 24%.
Maersk and others in the shipping industry have been pummeled by the fallout of overcapacity just as the global financial crisis hit. Maersk Line lost $151 million last quarter, down from a profit of $507 million a year earlier, as freight rates plunged 24%.
A global wave of protectionism threatens to exasperate the situation for an industry already struggling to turn a profit.
“Trade barriers should be reduced as much as possible,” Westlie said. “That opinion stands whether we’re talking about Brexit or the U.S., but also for tariffs in Africa or South America, for example. So it counts for all countries, not just individual ones.”
Read the original article.
IndustryWeek is, like MH&L, powered by Penton, an information services company.