Taiwan's three major shipping companies confirmed that market rates were higher than expected
At an industry event held in Taiwan recently, senior executives from the three major Taiwanese shipping companies, Evergreen Shipping, Yangming Shipping and Wanhai Shipping, gathered to discuss the current market conditions and future market prospects.
The three shipping companies said that the current container transport market freight rate is higher than expected, the fourth quarter of cargo is not as small as expected, as early as November will appear before the Lunar New Year shipment tide.
Li Minghui, chief business officer of Yangming Shipping, also said that the current cargo loading rate is better than expected, and it is expected that after December, there will be a shipment tide before the Lunar New Year.
Xie Fulong, general manager of Wanhai Shipping, believes that due to the early Lunar New Year in 2025, the shipment tide will start as soon as November this year. At the same time, he said that the current Asian near-ocean routes and European and American ocean routes have not yet felt the peak season, the space is sufficient, and the freight rate is kept within a reasonable range. The sea route is not prosperous, but also depends on Vietnam, Thailand, Indonesia, Malaysia and other countries demand is strong, the fourth quarter is expected to be equivalent to the third quarter.
For the continued high freight rates, Xie Fulong analysis said that on the one hand, shipping companies are unwilling to cut prices for goods, on the other hand, ships continue to go around the Cape of Good Hope, increasing the operating costs of shipping companies, but also to increase freight rates.
Li Minghui said that in 2025, the market supply and demand are still unbalanced, showing a state of oversupply, and uncertainties such as geopolitical tensions still exist, which will absorb some of the capacity. In addition, environmental requirements will accelerate the dismantling of older vessels, but the market is still mainly dependent on the recovery of demand.
Xie Fulong also held a similar view, he said that because the Red Sea crisis has not eased, a large number of ships are still circling the Cape of Good Hope, and there is a large demand for shipping capacity. At present, a large number of new vessels are continuing to enter the market, while older vessels are also being phased out, which is still supportive of freight rates.
The three shipping companies said that the current container transport market freight rate is higher than expected, the fourth quarter of cargo is not as small as expected, as early as November will appear before the Lunar New Year shipment tide.
Li Minghui, chief business officer of Yangming Shipping, also said that the current cargo loading rate is better than expected, and it is expected that after December, there will be a shipment tide before the Lunar New Year.
Xie Fulong, general manager of Wanhai Shipping, believes that due to the early Lunar New Year in 2025, the shipment tide will start as soon as November this year. At the same time, he said that the current Asian near-ocean routes and European and American ocean routes have not yet felt the peak season, the space is sufficient, and the freight rate is kept within a reasonable range. The sea route is not prosperous, but also depends on Vietnam, Thailand, Indonesia, Malaysia and other countries demand is strong, the fourth quarter is expected to be equivalent to the third quarter.
For the continued high freight rates, Xie Fulong analysis said that on the one hand, shipping companies are unwilling to cut prices for goods, on the other hand, ships continue to go around the Cape of Good Hope, increasing the operating costs of shipping companies, but also to increase freight rates.
Li Minghui said that in 2025, the market supply and demand are still unbalanced, showing a state of oversupply, and uncertainties such as geopolitical tensions still exist, which will absorb some of the capacity. In addition, environmental requirements will accelerate the dismantling of older vessels, but the market is still mainly dependent on the recovery of demand.
Xie Fulong also held a similar view, he said that because the Red Sea crisis has not eased, a large number of ships are still circling the Cape of Good Hope, and there is a large demand for shipping capacity. At present, a large number of new vessels are continuing to enter the market, while older vessels are also being phased out, which is still supportive of freight rates.
