Mexican Ports Stumble Under Surge of Bigger Ships

The ports of Lázaro Cárdenas and Manzanillo in Mexico experienced five-day delays as they
dealt with operational hiccups caused by the arrival of larger vessels.

Nicolás Portenza, president of Eternity International Freight Forwarder México, said Maersk,
MSC (Mediterranean Shipping Company), and CMA CGM had begun deploying vessels ranging
from 12,000 to 16,000 TEUs — a significant jump from the 10,000-TEU ships that typically
called on Mexican ports just a few years ago.

A Journal of Commerce report noted that in March, carriers had trouble filling these larger
vessels, despite a rise in manufacturing in Latin America. Freight forwarders said vessel
utilization reached only about 50 percent, citing low seasonal demand and ongoing tariff
uncertainties that kept the Asia–Mexico trade lane soft.

Still, Portenza said a rebound is likely in April and May as demand begins to catch up with
capacity.

Despite struggles to fill ships, the report said industry players are weighing a capacity increase
to serve Central America and the West Coast of South America (WCSA).
“There is news of new services to Mexico and also to WCSA,” said a forwarder with cargo on
the route. “It will be a bloodbath if they come.”