Investor Presentaiton

18 A.P. Moller-Maersk Annual Report 2020 Directors' Report Market update Particularly Q2 2021 will likely be high compared to Q2 2020 when country lockdowns were at their peak. However, there is substantial uncertainty about the container demand outlook in 2021. The strong goods demand that supported con- tainer volumes in 2020 could partially reverse if spending on services makes up for lost ground in 2021. Moreover, the continuation of adequate fis- cal transfers in 2021 is uncertain. Finally, labour markets remain under pressure, and unemploy- ment rates are still significantly higher than before the pandemic broke out. Upside potential mainly stems from further inventory restocking and a very fast and effective broadly distributed COVID-19 vaccine that stimulates broad-based recovery in labour markets, incomes, and busi- ness investment. Container fleet supply The global container fleet stood at 24m TEU at the end of 2020,3% higher than at the end of 2019. Deliveries amounted to 856k TEU (135 vessels) and mainly entered the fleet in H2. 205k TEU were scrapped, with most deletions occurring in Q2 when container demand declined sharply. Idling totalled 1% (311 TEU) of the fleet at the end of 2020. The idle fleet had increased extensively in the beginning of the year as the container industry adjusted the active fleet to the very weak demand (chart 2). As demand recovered in Q3, the idle fleet was swiftly reactivated. Effective capacity declined 3% in 2020 (chart 2). 1,148 TEU were ordered in 2020, corre- sponding to orderbook-to-fleet ratio of 11% at the end of the year. According to Alphaliner, the nomi- nal global container fleet will grow by 4% in 2021. Key numbers -2% Market demand growth The COVID-19 led contraction in Q2 was followed by strong recovery in H2 Ocean container market, annual growth (%) Europe North America -3 3 Africa Latin America -5 -8 US consumer demand increased extensively in H2 2020 Asia 0 Table 1 Market demand growth Growth % (Y/Y) 2020 2019 Global market -2.0 1.5 West-Central Asia -7 East-West -2.3 1.3 - Headhaul -1.7 0.6 Asia-Europe -4.2 2.9 Asia-North America 4.4 -2.1 Oceania - Backhaul -3.6 2.7 -1 North-South -4.1 1.2 Intra-regional -0.2 2.1 +18% Freight rates Consumption pick-up and vessel and equipment shortages pushed freight rates higher +3% Container fleet supply While the nominal container fleet increased, adjustments to idling and blanked sailings led to a decline in the effec- tive supply

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