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Thomas Theeuwes, Managing Director for India, Bangladesh and Sri Lanka at Maersk, said the shipping company sees India's economy diversifying away from West Asia and toward new markets. "We saw that the economy was able to diversify away from quite an important Middle East market into new markets," Theeuwes said.
Theeuwes pointed to the Europe Free Trade Agreement (FTA) as the next driver for trade volumes. He expects it to take effect sometime next year and said Maersk anticipates a very strong uptake once it does.
He also flagged a possible surplus of container ships by 2027, tied to a large order book across the shipping industry. But he said ship supply alone will not determine how goods move. Port and inland infrastructure, he said, are where bottlenecks currently form.
Maersk's second quarter numbers for India showed a decline in exports and imports at the headline level. Theeuwes attributed that decline mainly to the West Asia situation. He said the underlying trend, once that impact is stripped out, points to growth on both sides of trade.
Trade agreements are already showing results, according to Theeuwes. UK exports for Maersk grew 28% year on year in the second quarter of 2026. He linked the gain to the UK-India Free Trade Agreement, which took effect on July 15, 2026, and said some of the growth reflects companies moving shipments ahead of the deal.
India's exports to Brazil also grew at a double-digit pace. Theeuwes tied this to a February 2026 visit by Brazil's president to India, during which the two countries set a $30 billion trade target.
Pharmaceuticals recorded double-digit growth. Foodstuff exports grew more than 20% year on year. Automotive exports grew as well, particularly into Latin America. Theeuwes also pointed to textiles, which he expects to grow into the UK under the new trade agreement.
Traditional segments performed well in the second quarter. Theeuwes said demand also grew from the Far East, mainly in technology, automotive and renewables. Maersk added a new service, called FI2, to add capacity from the Far East in response.
West Asia disruption continues to add cost to global shipping, Theeuwes said. He said Maersk's focus is on keeping capacity reliable for Indian exporters, pointing to strong current demand from the US. "Our priority at Maersk is to provide stability for the Indian exporters," he said.
Freight rates remain elevated, he said, driven by tight supply alongside strong demand and added operational costs. Surcharges on European routes move with input costs, including bunker fuel prices, and follow supply and demand patterns, according to Theeuwes.
Asked about exporters who have seen shipping costs rise from around $500 to as much as $5,000, Theeuwes said the trajectory is hard to predict. He pointed to sustained demand from the US and interest from Europe as factors keeping supply tight.
On the question of a possible ship surplus by 2027, Theeuwes said the industry's order book points to more vessels entering service. But he said fluidity in trade also depends on port and inland infrastructure. "It's about how you combine the whole fluidity of the supply chain linking your inland with your ocean and provide us a fluid supply chain," he said.
For the full interview, watch the accompanying video
Catch all the latest updates from the stock market here
Theeuwes pointed to the Europe Free Trade Agreement (FTA) as the next driver for trade volumes. He expects it to take effect sometime next year and said Maersk anticipates a very strong uptake once it does.
He also flagged a possible surplus of container ships by 2027, tied to a large order book across the shipping industry. But he said ship supply alone will not determine how goods move. Port and inland infrastructure, he said, are where bottlenecks currently form.
Maersk's second quarter numbers for India showed a decline in exports and imports at the headline level. Theeuwes attributed that decline mainly to the West Asia situation. He said the underlying trend, once that impact is stripped out, points to growth on both sides of trade.
Trade agreements are already showing results, according to Theeuwes. UK exports for Maersk grew 28% year on year in the second quarter of 2026. He linked the gain to the UK-India Free Trade Agreement, which took effect on July 15, 2026, and said some of the growth reflects companies moving shipments ahead of the deal.
India's exports to Brazil also grew at a double-digit pace. Theeuwes tied this to a February 2026 visit by Brazil's president to India, during which the two countries set a $30 billion trade target.
Pharmaceuticals recorded double-digit growth. Foodstuff exports grew more than 20% year on year. Automotive exports grew as well, particularly into Latin America. Theeuwes also pointed to textiles, which he expects to grow into the UK under the new trade agreement.
Traditional segments performed well in the second quarter. Theeuwes said demand also grew from the Far East, mainly in technology, automotive and renewables. Maersk added a new service, called FI2, to add capacity from the Far East in response.
West Asia disruption continues to add cost to global shipping, Theeuwes said. He said Maersk's focus is on keeping capacity reliable for Indian exporters, pointing to strong current demand from the US. "Our priority at Maersk is to provide stability for the Indian exporters," he said.
Freight rates remain elevated, he said, driven by tight supply alongside strong demand and added operational costs. Surcharges on European routes move with input costs, including bunker fuel prices, and follow supply and demand patterns, according to Theeuwes.
Asked about exporters who have seen shipping costs rise from around $500 to as much as $5,000, Theeuwes said the trajectory is hard to predict. He pointed to sustained demand from the US and interest from Europe as factors keeping supply tight.
On the question of a possible ship surplus by 2027, Theeuwes said the industry's order book points to more vessels entering service. But he said fluidity in trade also depends on port and inland infrastructure. "It's about how you combine the whole fluidity of the supply chain linking your inland with your ocean and provide us a fluid supply chain," he said.
For the full interview, watch the accompanying video
Catch all the latest updates from the stock market here
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