Prosperity and confidence dropping in shipping industry
October 31, 2012 Category Logistics, Ports & sea transport
The Shanghai International Shipping Institute reported its Chinese shipping industry prosperity index decreased by 16.37 points from the second quarter to the third quarter, dropping to 78.17 points. A score above 100 on the index indicates prosperous times for the industry. The Institute’s shipping confidence index slumped by 19.37 points from the second quarter to the third quarter, falling to 44.05 points, and more than 63% of shipping businesses that were polled in the survey said they were pessimistic about the industry’s prospects. In the first half of the year, listed Chinese port companies posted a combined net profit of CNY6.41 billion, edging down 0.5% year-on-year. The nine biggest Chinese shipping enterprises, including China Cosco Holdings Co and China Shipping Container Lines, reported an aggregate loss of nearly CNY8 billion in the first half of the year. Wei Jiafu, Chairman of Cosco Group, China’s biggest ship operator, has asked for government aid on several occasions. In the survey conducted by the Shanghai International Shipping Institute, 28% of shipping corporations said the government should take steps to prevent listed shipping companies that have posted losses in consecutive years from being delisted. The report advised them to strengthen their ability to make profits and reduce their expenses by postponing the delivery of new vessels and combining relatively inefficient shipping routes. The Ministry of Transport said it will help privately owned shipping and port enterprises become stronger competitors overseas by offering them favorable tax, financing and insurance policies. The Ministry also said it encourages private shipping and port companies to cooperate with state-owned companies, the China Daily reports.
- KURT VANDEPUTTE (UMICORE) APPOINTED CHAIRMAN OF THE BOARD OF THE FLANDERS-CHINA CHAMBER OF COMMERCE (FCCC)
- Webinar: “Knowing Your Chinese Partner” – May 26, 2021, 10 am – 12 am
- EMA starts rolling review of CoronaVac, WHO approves Sinopharm vaccine for emergency use
- The Global Times warns not to politicize the Comprehensive Agreement on Investment (CAI)
- Hainan to become biggest duty-free market in the world