From Bloomberg News
Oct. 23 (Bloomberg) -- Mitsui O.S.K. Lines Ltd., the world’s largest shipping line by fleet size, said its container unit may be unprofitable for two more years as rising global capacity and slowing world trade damps rates.
The unit will make a loss in the year ending March 2011, Executive Vice President Masakazu Yakushiji said in an interview in Tokyo yesterday. It may be able to return to profit the following year if rates rise, he added.
Back in January, I predicted the U.S. would be in a recession until 2011.
I think that is still fairly accurate, and apparently the same holds true
for container carriers.
I liked this quote
Shipping lines can only “lose less by doing less,” said Johnson Leung, a Hong Kong-based analyst at Tufton Oceanic Ltd., the world’s largest shipping hedge-fund group. “Oversupply is not something you can solve in a year.”
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