China Shipping Container Line experienced a 427.6 percent decline in the first half of 2009, reporting a loss of US$453.7 million on revenues of US$1.3 billion, which fell 51.5 percent year-on-year.
The group shipped over 3.18 million TEU in the first half of 2009, an 11.4 percent decline from the same period in 2008.
Meanwhile, newly added capacity and more idle ships have threatened the stability of the freight rates of the container shipping market, said the group statement.
The group also blamed poor performance on shrinking world trade, which led to a decrease in cargo volume.
"Excessive shipping capacity in the market also led to fierce competition and a decrease in freight rates, which adversely affected revenue," said the statement.
But coastal cargo volume remained stable as domestic stimulus funding kicked in, said the company. During the period, the group's cargo volume for international trade lanes decreased by 17.4 percent while it fell only by 0.4 percent on China's domestic trade lanes.
Tracey Jia