The CEO of Danish shipping giant Maersk (AMKBY) is warning that global shipments have plunged since U.S. import tariffs sparked a worldwide trade war in April.
Maersk CEO Vincent Clerc said in an interview with CNBC that China-U.S. container market volumes dropped between 30% and 40% in April as customers take a wait-and-see approach to the tariff situation. “Unless we find a solution then the current level of tariffs is simply prohibitive on both sides for it to really show some recovery,” said Clerc, adding that he expects “a lot of volatility ahead.”
The comments about a plunge in global shipments by sea come as the U.S. and China prepare to meet in Switzerland for trade talks in coming days. The trade talks come after U.S. President Donald Trump imposed tariffs as high as 145% on most goods imported into America from China. The steep tariffs have essentially ground trade between the world’s two biggest economies to a halt.
Strong Q1 Results
Clerc’s comments also come as Maersk reported its first-quarter financial results. The shipping company that is based in Copenhagen, Denmark announced Q1 earnings of $2.71 billion, which was up 70% from a year earlier and above the $2.57 billion expected by analysts. Maersk also maintained its 2025 profit guidance, saying it expects earnings of $6 billion to $9 billion this year.
However, Clerc cautioned that the situation with global shipping has changed dramatically since the start of the second quarter in April and the implementation of tariffs. Consequently, Maersk is now forecasting that global container volume growth will be negative this year, down -1%. Clerc said that Maersk expects a “bumpy” road ahead. Maersk’s stock has risen 13% this year.
Is AMKBY Stock a Buy?
Maersk’s stock trades on the over-the-counter market in the U.S. and not many Wall Street analysts cover the company. So instead, we’ll look at the stock’s three-month performance. As one can see in the chart below, AMKBY stock has gained 16% over the last 12 weeks.
