Asian Container Liners See Turnaround as Red Sea Remains Shut

Chinese and Taiwanese container liner earnings are showing how the industry is dealing with global ructions as the Iran war dims hopes of a Red Sea reopening and pushes up freight rates, a welcome break after a year of declining profits.

China’s Orient Overseas International Ltd. and Taiwan’s Evergreen Marine Corp. both reported steep drops in earnings as the prospect of a reopening of the Red Sea shipping route exacerbated oversupply issues that kept rates low for most of last year. Smaller Taiwanese liners Yang Ming Marine Transport Corp. and Wan Hai Lines Ltd. also saw earnings contract.