Taiwan lines Yang Ming and Wan Hai have proven to be very active during the so-called slack season, with the launching of various new services covering the intra-Asia and Indian sub-continent trades.
Yang Ming has moved to join the CI6 service, operated by Wan Hai, Sinokor, Heung-A, IAL and Feedertech, from the middle of November, covering the Asia/Indian sub-continent trade. Yang Ming will name the service the Shanghai/Nhava Sheva (SNS) service, with the first sailing for Yang Ming will take place from Dalian on November 16.
CI6/SNS service details: Port rotation: Dalian, Shanghai, Ningbo, Hong Kong, Shekou, Singapore, Port Kelang, Port Kelang (North Port), Colombo, Nhava Sheva, Mundra, Port Kelang (North Port), Shekou and Dalian. Deployment is six 4,200 TEU vessels.
Yang Ming, this time with Interasia Lines, is set to further expand its intra-Asia service network in early December, with the launching of the new North China/Vietnam service. Yang Ming will name the service, the North China/Vietnam Express (NVX), and will offer port coverage of Qingdao, Dalian, Tianjin, Ningbo, Xiamen, Cat Lai, Danang and Qingdao. Deployment will comprise three 1,700+ TEU vessels. The first sailing commenced from Qingdao on December 4th by the 1,730 TEU Hanover Trader.
From a more direct point, Yang Ming Marine Transport Corporation held its board meeting on November 12th to approve its 2020 Q3 financial report. Consolidated revenues for Q3/20 totaled NT$38.86 billion (US$1.3 billion), which was an increase of 2.83% on the same period 2019. Container volumes were down by 10.99% year-over-year to 1.28 million TEU, and Yang Ming’s profit after-tax for Q3/20, amounted to NT$2.74 billion (US$91.69 million).
According to Yang Ming’s financial statement, “the decline in volume was mainly due to the market uncertainty caused by the Covid-19 pandemic, and the company had to timely adapt capacity on East-West trades in response to the market change.”
The Yang Ming statement, however, continued: “Since mid-August the lockdown restrictions have been gradually lifted following signs that the virus spread might be slowing. In the light of this, the inventory build-ups across the supply chains in US and Europe have returned, although the lockdown measures already have profoundly impacted on people’s way of life and consumer behavior. This which accelerates the shift to e-Commerce, further increases the needs for hygiene products and home improvement materials, including housewares, home office accessories, exercise equipment, and consequently leads to a rebound in container shipping demand and boosts freight rates.”
For the first three quarters of 2020, Yang Ming’s consolidated revenues totaled NT$105.25 billion (US$3.53 billion), year-to-date business volumes were 3.66 million TEUs, and after-tax profit for the first three quarters improved by 155.68% year-on-year to reach NT$1.85 billion (US$62.01 million).
With the strong improvement in the third quarter, Yang Ming successfully achieved a return to profitability in 2020.
Separately, Wan Hai Lines, together with Global Feeder Shipping, have launched a new service connecting Pakistan and the United Arab Emirates during the second half of November.
Wan Hai Lines has named the service the PS2 service and, through the service, offers a port rotation of Jebel Ali, Karachi and Jebel Ali. Weekly capacity of the new service will be 1,800 TEUs; the service made its first sailing on November 17 from Jebel Ali.
Separately, Wan Hai Lines and Interasia Lines recently confirmed the launching of a new intra-Asia service from the last week of November.
Wan Hai named the service the CV8 service; the port rotation has been confirmed as Qingdao, Dalian, Tianjin, Ningbo, Xiamen, Cat Lai, Ho Chi Minh, Da Nang and Qingdao. The first sailing was on November 25 from Qingdao. Deployment will be three 1,200 TEU vessels (two from Wan Hai and one from Interasia).
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