Taiwanese ocean carrier Yang Ming announced revenue of US$1.15 billion and reported net loss of US$4.27 million in the second quarter of the year. However, the company achieved a profit of US$107.04 million in the first six months of 2023 with consolidated revenues in the same period reaching US$2.36 billion.
“The maritime industry in the first half of the year was impacted mainly by inflation and uncertainty in the global economy. Additionally, freight rates declined compared to the same period last year, leading to a decrease in revenue compared to the corresponding period last year,” commented Yang Ming.
The container shipping company said that according to Alphaliner’s growth forecast, the overall supply is predicted to grow by 8.5% this year, surpassing the demand growth of 1.4%. “As such, oversupply still dominates the maritime market, which is caused by high inflation weakening household purchasing power and demand due to ongoing inventory liquidation within industrial chains,” pointed out Yang Ming.
“However, once the Russia-Ukraine conflict comes to an end, the need for reconstruction materials during the post-war recovery period is expected to boost container shipping demand,” added the Keelung-based ocean carrier.
Source: Container News