China Cosco predicted to post $889m FY loss

The Hong Kong-listed China Cosco Holdings is projected to post a full year net loss of RMB5.6bn ($888.5m), according to UOB Kay Hian, Seatrade Asia online reports.

Last year, the Chinese-owned shipping firm posted a massive net loss of RMB10.95bn, as against a net profit of RMB5.4bn in 2010.

This year, China Cosco has seen improvements in its container shipping business in the second and third quarters, but the dry bulk sector continues to experience deep losses, the bank research said.

China's demand for dry commodities, in particular iron ore, would be “almost flattish” as about 40% of Chinese iron ore mines are left idle.