Shipping freight rates will continue to be weak and the overall market will be less favourable for the rest of this year compared to last year, according to Sinotrans Shipping, Seatrade Asia online reports.The operator of bulkers, containerships and tankers said the growth in seaborne trade can hardly offset the massive delivery of newbuilding vessels and the pressure of oversupply will further intensify.
“On the other hand, factors such as the global financial environment, the economic policies of different countries, the pricing of bulk commodities, change in the global trade pattern, the geopolitical circumstances as well as weather disruption will also bring variables to the demand and supply of the shipping market,” the company said.
The Hong Kong-listed firm posted first-half net profit of $55.2m, down 5.6% compared to $58.5m in the same period of 2010.
Sinotrans Shipping registered marginally higher revenue in the first-half at $134.4m compared to $133.7m a year ago.
“On the other hand, factors such as the global financial environment, the economic policies of different countries, the pricing of bulk commodities, change in the global trade pattern, the geopolitical circumstances as well as weather disruption will also bring variables to the demand and supply of the shipping market,” the company said.
The Hong Kong-listed firm posted first-half net profit of $55.2m, down 5.6% compared to $58.5m in the same period of 2010.
Sinotrans Shipping registered marginally higher revenue in the first-half at $134.4m compared to $133.7m a year ago.