On May 21, COSCO SHIPPING Group held the first "COSCO SHIPPING Capital Markets Day" in Shanghai, where the management of 9 A-share and Hong Kong-listed companies controlled by COSCO SHIPPING Group, including COSCO SHIPPING Holdings, COSCO SHIPPING Ports and Orient Overseas International, conducted in-depth communication with more than 200 researchers and investment leaders from various investment institutions and analysts from major domestic and foreign securities firms.
At the meeting, the management of 9 listed companies introduced the development strategy and operation of the company to the investors, and judged the latest trends in the industry.
In view of the continuous strengthening of freight rates in the container shipping market since the beginning of this year, COSCO Shipping Holdings said that the global economy has gradually recovered, and the freight demand in the container transportation market has shown a growth trend. Some authoritative institutions predict that the global container freight volume in the first quarter of this year will increase by 6.6% year-on-year. On the other hand, affected by the situation in the Red Sea, ships on the Asia-Europe route chose to sail around the Cape of Good Hope, resulting in an increase in the number of voyages and ships put into operation on the route, which partially absorbed the newly delivered capacity since the beginning of this year.
COSCO Shipping Holdings further analyzed that with the steady rise in market demand in Europe and the United States recently, there are signs of shipment boom, and the effective capacity of the market has been reduced due to superimposed detours, so that the market loading rate remains fully loaded, and the spot market freight rate has increased significantly. Overall, from January to mid-May this year, the average value of China's export container freight index (CCFI) increased by 22% year-on-year.
In terms of future capital expenditure plan, COSCO SHIPPING Holdings said that it will include the following aspects: according to the company's shareholder dividend return plan, cash dividends will be distributed to shareholders, which is an important part of COSCO SHIPPING Holdings' capital expenditure; The construction progress payment of the ship under construction order is also the main capital expenditure content in the future; The construction and equity investment of the port terminal will be performed in an orderly manner according to the content of the signed contract.
In addition, COSCO SHIPPING Holdings will continue to increase investment in the two major areas of "continuous increase in digital supply chain" and "green and low-carbon", carry out feasibility studies on potential investment projects around the world, and implement relevant investment projects in a timely manner.
At the meeting, OOIL International introduced the highlights and achievements of "Implementing the Global Digital Supply Chain Development Strategy".
OOIL said that the company has been committed to promoting the digital and intelligent development of the industry, and while continuing to deepen its e-commerce strategy, it will use big data and artificial intelligence technology to improve the management of containers, ships and cargo, help ensure that ships operate in the best possible way, and improve the quality of customer service.
COSCO SHIPPING Ports has made an outlook on the throughput growth prospects of global and Chinese ports this year, and the company believes that global trade is expected to stabilize and strengthen, and favorable factors for economic and trade recovery are gradually accumulating, promoting the recovery of demand in the port industry.
Specifically, in terms of China's economy, based on the judgment of the rebound in international trade growth this year, China's GDP will maintain a growth rate of 5%, and the container throughput of China's ports will continue to grow steadily throughout the year.
In terms of European and American ports, throughput growth is expected to rebound moderately. According to a recent report by Drury, the container throughput of European ports is expected to return to positive growth after two consecutive years of contraction, and the growth rate is expected to rebound to about 3% this year. Among them, the growth rate of western Mediterranean ports was 6.5%, and the growth rate of northwest European ports was about 3%~4%. Driven by the replenishment of inventories in the United States, the cargo volume of the Sino-US route has recovered, and the throughput of North American ports will bottom out, and the growth rate will turn negative to positive, reaching about 7%.
COSCO SHIPPING Ports said that although the shipping market will still face many challenges this year, the company will continue to adhere to the globalization strategy, take the initiative to adapt to the changes in the global industrial chain and supply chain, continue to promote the development opportunities of emerging markets and regional markets, and achieve a balanced global port network layout and coordinated development.
