Wan Hai will start a new China West India Service VIII (CI8) connecting Nansha, Haiphong, Ho Chi Minh City, Surabaya, Singapore, Port Klang Northport, Colombo, Mundra, Nhava Sheva, Port Klang Northport, Ho Chi Minh City, Danang, Haiphong, Qinzhou, Nansha in February 2023. The service will start from 26 Feb 2023 with the 3,013 teu WAN HAI 353 at Nansha. The services is expected to turn in 6 weeks and will initially operate on an irregular schedule.
Taiwanese liners' January revenue continued its slide. In aggregate these 3 listed liners' revenue at about $1.6bn in January was down 14% MoM and 65% YoY. The 14% sequential fall in January was similar to the pace of fall in December. This year's Lunar New Year public holidays went from 21 to 27 January in China. Many factories in China closed ahead of the official public holidays and resumed production later than the official holiday end, which may have negatively impact container shipment v
The listed Taiwanese liners have all reported their Dec 2022 revenues, which are the first actual figures of the FY2022 and 22Q4 results among all liners. In short, these liners revenue dropped 39% QoQ and 44% YoY. In 3Q22, the listed Taiwanese liners together have delivered $11bn in revenue and $5.9bn in net profit. The $4.3bn or 39% QoQ fall in revenue during 4Q22 will likely reduce these liner's net profit by nearly 60% QoQ, in our estimates assuming 20% lower fuel expenses and 60% lower ta
Wan Hai has revised the rotation of its Asia America IV (AA5) transpacific service with the call at Taipei dropped while a new call at Seattle is added. The revised rotation started from November 2022 and calls at Qingdao, Shanghai, Ningbo, Long Beach, Seattle, Qingdao. The service will turn in 6 weeks but it being downgraded with just 2 ships of 3,013 teu deployed in January and February 2023, with 4 blanked sailings on each 6 week cycle.
Wan Hai's Asia America 9 (AA9)/Asia America Service IX connecting Far East-US East Coast has been streamlined into a eastbound round-the-world rotation with a new call at Philadelphia added since 18 August 2022 as well as new calls at Balboa and Shanghai added since October 2022. The AA9 rotation calls at Haiphong, Shekou, Kaohsiung, Shanghai, Qingdao, Balboa, Charleston, Philadelphia, New York, Suez (Canal), Haiphong. The revised service avoids the persistent congestion at Norfolk and Sava
The Middle East Gulf-China service that is jointly operated by a consortium of 6 carriers (PIL/CUL/ESL/KMTC/RCL/Wan Hai) will be upgraded from 9 January 2023 with new calls at Hamad and Singapore (westbound). The revised rotation will call at Shanghai, Ningbo, Nansha, Shekou, Singapore, Jebel Ali, Dammam, Hamad, Singapore, Shanghai. The service was first launched in November 2021 and is branded respectively as the Gulf China Service (GCS) by PIL and KMTC, Asia Gulf Express (AGX) by CUL, Gulf Ch
The main carriers’ average EBIT margins fell by 3.4% from the 2Q peak of 54.3% to 50.9%. However, the gap between individual carriers are widening, with some notable drops at Wan Hai (down 13.0%), OOCL (down 8.3%), HMM (down 6.8%) and Yang Ming (down 6.1%). Carriers with a larger share on the Asia-US West Coast have suffered the largest margin erosion, with a sharper drop expected in 4Q 2022 as the rate malaise has spread to other tradelanes.
Wanhai reported after Friday (11 Nov 2022) closed. Net profit dropped 42% YoY and 28% QoQ. Not much surprises since the top line has been reported few weeks ago and the QoQ quantum drop in pre tax earnings eg NTD12bn is similar to the top line QoQ drop. Liners with less contracted business ratio is still see greater earnings drop near term.
EMC, YMM and WHL reported October top line. In aggregate, which provide better read through for the industry, revenue in USD fell 15% MoM and 33% YoY, probably would be taken as positive surprises since the fall is less than CCFI. As additional context for this set of October figures, the Taiwanese liners' revenue fell more more than CCFI during September.
Wan Hai will withdraw 2 of its Far East-US West Coast services calling at Oakland and Seattle, but will retain its remaining 4 transpacific services that serves the US West Coast (2 services) and the US East Coast (2 services) with an increase in overall capacity as its first 13,200 teu ships are introduced on the trade. The Asia America Service I (AA1) willl be withdrawn with the last sailing scheduled to depart from Shekou on 16 October 2022 with the 1,708 teu TOKYO TOWER. The service calls a