COSCO unit Hong Kong Orient Overseas Container Line's (OOCL) first-quarter operational numbers revealed an aggressive grab for market in the Asia-Europe tradelane, reports London's Loadstar.
The combined net profit for Cosco and oocl in the fourth quarter was US$3.3 billion, and the China state-owned line has already indicated it expects a profit of $4.3 billion for the first quarter of this year.
OOCL's liftings for Q1 were down 9.2 per cent on the same period of last year, at 1,795,876 TEU, although, as noted by Vespucci Maritime consultancy's Lars Jensen, volumes in Q1 2021 were particularly strong, driven by pandemic lockdown e-commerce demand.
Mr Jensen suggested instead that a fairer comparison should be drawn with the pre-pandemic carryings of Q1 19, which would show an increase in OOCL's volumes of 12 per cent - around twice the average growth for the industry.
'Asia-Europe volumes were up 25 per cent on Q1 19,' said Mr Jensen, 'hence OOCL has materially strengthened its foothold in this trade during the pandemic period,' he said.
In its 2021 annual report, OOCL' parent Orient Overseas (International) said OOCL had been able to access additional capacity 'through our ability to share equipment, or the option to take additional space on Cosco Shipping's vessels'.
Mr Jensen also observed that the carrier's transatlantic volumes were down 13 per cent (compared with the same period of 2019), noting that the line had 'been reducing its position in this trade'.
Meanwhile, OOCL's unaudited revenue was up a staggering 71 per cent, to $5.16 billion, versus $3.02 billion the year before, smashing its turnover record for the third consecutive quarter.
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The combined net profit for Cosco and oocl in the fourth quarter was US$3.3 billion, and the China state-owned line has already indicated it expects a profit of $4.3 billion for the first quarter of this year.
OOCL's liftings for Q1 were down 9.2 per cent on the same period of last year, at 1,795,876 TEU, although, as noted by Vespucci Maritime consultancy's Lars Jensen, volumes in Q1 2021 were particularly strong, driven by pandemic lockdown e-commerce demand.
Mr Jensen suggested instead that a fairer comparison should be drawn with the pre-pandemic carryings of Q1 19, which would show an increase in OOCL's volumes of 12 per cent - around twice the average growth for the industry.
'Asia-Europe volumes were up 25 per cent on Q1 19,' said Mr Jensen, 'hence OOCL has materially strengthened its foothold in this trade during the pandemic period,' he said.
In its 2021 annual report, OOCL' parent Orient Overseas (International) said OOCL had been able to access additional capacity 'through our ability to share equipment, or the option to take additional space on Cosco Shipping's vessels'.
Mr Jensen also observed that the carrier's transatlantic volumes were down 13 per cent (compared with the same period of 2019), noting that the line had 'been reducing its position in this trade'.
Meanwhile, OOCL's unaudited revenue was up a staggering 71 per cent, to $5.16 billion, versus $3.02 billion the year before, smashing its turnover record for the third consecutive quarter.
SeaNews Turkey