Shipping stocks soar amid container crunch
A container shortage across the world is reportedly getting worse with shipping prices increasing nearly ninefold on Australia routes and fivefold on European sectors.
Shipping stocks meanwhile have soared with Cosco Shipping (0517) rising nearly fivefold since from a low in May last year. The stock recently hit a 10-year high of HK$11.28 and rose 8.1 percent to HK$11.18 yesterday.
Meanwhile, its subsidiary Orient Overseas (International) (0316) has also risen more than 200 percent and with the container shipping company jumping 8.2 percent to HK$107 yesterday.
Facing the craziest rise in shipping price in history, A recently retired shipping company chairman said that he had never seen prices rise so much in the past 45 years, Taiwanese media reported.
Since last month, prices on Southeast Asia routes have increased fourfold, reaching more than US$1,000 (HK$7,754), the report said.
The container crunch will ease once a large number of empty containers are available from Europe and the United States in April and May, according to the report.
Source: Hong Kong Standard