Syscorp Focuses on Domestic Routes

By Aiswarya Lakshmi
Tuesday, February 02, 2016
Image: Shin Yang Shipping Corp Bhd

 Shin Yang Shipping Corp Bhd (Syscorp) has shifted the focus of its container shipping business to domestic routes in the face of continued volatility in the international container shipping market, reports the Star.

 
The leading Malaysian shipping company has realigned its focus to domestic container shipping routes with some 95% of its 14 container ships deployed on routes within Malaysia, group financial controller Richard Ling said.
 
“A majority of these container ships ply Sarawak, Sabah and Peninsular Malaysia ports,” he told StarBiz. 
 
However, domestic container shipping operation remains “very competitive” with reduced demand, Ling said, and this has squeezed the profit margins of shippers.
 
Syscorp sees some future cargo potential from the sea transportation of road construction materials for the Pan Borneo Highway project in the next few years. 
 
The group laid off three container vessels after ceasing the unprofitable regional operations more than a year ago.
 
Miri-based Syscorp, which operates a fleet of nearly 290 vessels, including those deployed in Middle-East operations, is also involved in the shipment of crude palm oil (CPO) from Malaysia and Indonesia to China.
 
Syscorp and some other shipping firms have reportedly benefitted from the recent withdrawal of container shipping by Hubline Bhd. As a key player in domestic and intra-Asean routes, Hubline ceased container shipping operations all together in September, last year to stop the heavy losses it had incurred in recent years due to overcapacity and depressed freight rate due to stiff competition for cargo.
 

Maritime Today


The Maritime Industry's original and most viewed E-News Service

Maritime Reporter July 2016 Digital Edition
FREE Maritime Reporter Subscription
Latest Maritime News    rss feeds

Container Ships

Diana Containerships in Red, Suspends Dividend

Greece-based Diana Containerships Inc. has reported a second-quarter loss of $8 million, after reporting a profit in the same period a year earlier.   The shipping

Panama Canal: Assessing the Risk & Reward

The Panama Canal’s impact on shipping routes and vessel sizes since it opened in 1914 is undisputed. This will continue with the opening of a third channel for larger vessels in 2016.

New Container Facility at Krishnapatnam Port

Krishnapatnam Port, India's largest all-weather; deep water port on the east-coast of India has inaugurated CONCOR’s - Port Side Container facility – a Government of India undertaking.

Logistics

Scorpio Bulkers books Net Loss

USA-Monaco based bulk carrier Scorpio Bulkers has reported a loss of $24.7 million in its second quarter of 2016, pushing the carrier's deficit up to $ 83 million.

Diana Containerships in Red, Suspends Dividend

Greece-based Diana Containerships Inc. has reported a second-quarter loss of $8 million, after reporting a profit in the same period a year earlier.   The shipping

APL Introduces Felixstowe Express Service for Asia-Europe Trade

APL, part of the CMA CGM Group, has announced the launch of the Felixstowe Express Service (FEX), a new weekly service that connects the key ports of China, Europe

 
 
Maritime Contracts Maritime Security Maritime Standards Naval Architecture Navigation Pod Propulsion Salvage Ship Electronics Ship Simulators Shipbuilding / Vessel Construction
rss | archive | history | articles | privacy | contributors | top maritime news | about us | copyright | maritime magazines
maritime security news | shipbuilding news | maritime industry | shipping news | maritime reporting | workboats news | ship design | maritime business

Time taken: 0.0540 sec (19 req/sec)