DOI: https://doi.org/10.14710/kapal.v22i2.72477

Domestic Container Shipping Market Profile: A Case Study of Indonesia

*Tri Achmadi  -  Department of Marine Transportation Engineering, Indonesia
Received: 16 Apr 2025; Published: 22 Jul 2025.
Open Access Copyright (c) 2025 Kapal: Jurnal Ilmu Pengetahuan dan Teknologi Kelautan
Creative Commons License This work is licensed under a Creative Commons Attribution-ShareAlike 4.0 International License.

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Abstract
As the largest archipelagic country globally, the shipping industry has played important roles in supporting Indonesia's economy. However, the Indonesian Ship Owners Association (INSA) stated that Indonesia's commercial shipping was experiencing an oversupply. This research was conducted to determine the equilibrium between Indonesia's container shipping market's supply and demand. The analysis was carried out on nine major container shipping liner routes in Indonesia. The methods used include regression analysis, relational analysis, supply and demand curve analysis, market equilibrium analysis, market structure analysis, and voyage calculation analysis. The research data input is based on Ship Arrival and Departure Report (Laporan Keberangkatan dan Kedatangan Kapal/LK3) data and the generic data from simulation results with business actors. The results show that the demand curve for containers is inelastic with a value of 0.31, which indicates that the cargo-owners have no choice but to deliver the goods at a freight rate determined by the shipping company. Meanwhile, the supply capacity curve is elastic with a value of 3.16, which indicates that the shipping company can adjust the capacity of the supply quantity. The demand curve on the Surabaya-Makassar route and the supply curve has an equilibrium point at a quantity of 99 million TEUs.Nm and a price of IDR 2.16 million / TEUs. As for the Jakarta-Surabaya route, the demand curve does not intersect the supply curve due to an over-supply. The supply curve should shift to the left to find its equilibrium by reducing the supply capacity by 258 thousand TEUs.

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Section: Research Articles
Language : EN
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