Taiwan's 'Big Three' Container Shipping Firms See Revenue Growth in April

Taiwan's top three container shipping companies – Evergreen Marine, Yang Ming Marine, and Wan Hai Lines – announced that their consolidated revenues for April increased both month-on-month and year-on-year. Key factors driving this growth include inventory replenishment demand following the Lunar New Year industrial restart, rising international shipping rates due to conflicts such as the US-Iran tensions and Middle East situations, and shipping demand ahead of China's May Day holiday. The companies have implemented freight rate adjustments and anticipate freight rates will continue to remain strong leading up to the peak summer season.

Evergreen Marine announced consolidated revenue of NT$31.359 billion for April, an increase of 14.14% month-on-month and 4.51% year-on-year. The overall international shipping market freight rates have risen due to the ongoing US-Iran conflict. For the first four months of the year, consolidated revenue was NT$117.871 billion, a year-on-year decrease of 15.79%.

Yang Ming Marine's April revenue was NT$14.228 billion, up 14.23% month-on-month and 13.88% year-on-year. This was primarily due to the demand for inventory replenishment as industries resumed operations after the Lunar New Year.

Yang Ming noted that the shipping market remains stable in terms of demand. The May Day holidays in various countries had a limited impact on market cargo volume, and recovery post-holiday was as expected. The Shanghai Export Containerized Freight Index (SCFI) has continued to rise. The company anticipates stable cargo volume before the summer peak season and will continue to monitor demand from European and American customers, changes in the Middle East situation, and the impact of market fuel costs, implementing flexible adjustments accordingly.

Wan Hai Lines reported consolidated revenue of NT$12.931 billion for April, an increase of 22.88% month-on-month and 13.05% year-on-year. Cumulative revenue for the first four months was NT$46.572 billion, a year-on-year decrease of 4.03%.

Wan Hai stated that the significant growth in April revenue compared to March was driven by simultaneous increases in both price and volume. Regarding freight rates, international oil prices have surged due to geopolitical conflicts in the Middle East, and port congestion has lengthened vessel sailing cycles, thereby increasing operating costs. To reflect market supply and demand changes, Wan Hai has implemented freight rate adjustments in April and May.

In terms of cargo volume, Wan Hai indicated that demand for shipments ahead of China's May Day holiday significantly boosted loading momentum. Based on recent trends, shipping market freight rates remain at high levels. With the post-May Day holiday restocking demand and geopolitical factors providing support, freight rates are expected to maintain a strong trajectory.