Container shipping has had a lucrative few years, but its profits may have peaked now that pandemic disruptions are over, reports Quartz. During the pandemic, shipping companies were able to charge more amid high demand, and the sector hit a high of $64 billion in the second quarter of this year, the seventh consecutive quarter with record profits.
That high ended in the third quarter, as profits dipped to $59 billion. Industry analysts predict a continued downward trend, as port and supply chain blockages and fuel prices ease. Some experts predict that profits will fall as much as 70% for some carriers in the fourth quarter. Ocean freight rates for cargo from China to the U.S. West Coast have already dropped 90% since last year.