With a shipping capacity of roughly 148,000 TEU, SITC is presently the world’s 15th largest liner operator. Strong market conditions saw SITC’s 2021 net profit soaring more than four-fold to US$1.17 billion.
SITC Huangshan and SITC Taishan, two other bulk carriers, were sold for US$22 million and US$18.25 million, respectively, in November 2021 and February 2022, according to a business representative.
SITC does not own or operate its bulk carriers; instead, it charters them out to other companies. Four Panamax vessels and one Supramax vessel make up the bulk carriers.
“While dry bulk charter rates have been solid,” a company official stated, “charter hire income comprises a minor part of the group’s revenue, and the management wants to focus on the primary business, which is container shipping.”
Furthermore, SITC has 33 boxships, ranging from 1,800 TEU to 2,700 TEU, on order at Yangzijiang and a South Korean ship builder, Dae Sun Shipbuilding & Engineering Co., Ltd. The delivery of the vessels is expected from mid-2022 to end-2024.
SITC’s representative told Container News that these newbuildings will gradually replace older ships and chartered-in vessels, to reduce chartering costs.
Tran Van Hieu