News
The Shanghai International Shipping Institute (SISI) recently announced the business barometer for Chinese shipping companies was 119.94 points in the fourth quarter (October-December) of 2017, which was the highest index in seven years. The business confidence index was an all-time high of 148.94 points, confirming that business conditions are changing for the better notably. When the business barometer exceeds the 100-point line, it indicates the business is good, but when it falls below the line, it warns the business is falling.
In the first quarter (January-March) of 2018, Lunar New Year holidays are projected to have an adverse impact on business performances, decelerating the business recovery of compatriot shipping companies. As such, the business barometer is expected to go down to 108.31 points, and the business confidence index, to 130.99 points. Nevertheless, the SISI anticipates the business will still be favorable.
According to the research the SISI has conducted, 54.87% of Chinese shipping lines foresee the shipping market will continue to recover slowly, while 14.28% think that it will rise remarkably. However, 10.95% project another market downturn. Bulker operators are optimistic, envisaging the market will continue to recover to higher levels. In contrast, containership operators are more pessimistic, believing the market will remain unchanged from 2017 or even descend toward the bottom again.
