Taiwanese carrier Evergreen Marine Corp will launch a Vietnam-Singapore-Malaysia (VSM) service on 10 May to enhance its Southeast Asian shipping network.
Two 1,164 teu box ships will be deployed for this new service, and the voyage will take 14 days. The VSM service is expected to commence from Haiphong, Vietnam, and the rotation will be Haiphong, Ho Chi Minh, Klang, Singapore, Tanjung Pelepas, and back to Haiphong, the company said on 7 May.
Evergreen says this regular service will not only provide service for countries nearby, but also expand its global service network via Singapore and Tanjung Pelepas in Malaysia.
Vietnam’s economy will grow at 6% this year, and the average growth for ASEAN-5, the five biggest economies in Southeast Asia, was expected to reach 5.2% this year and 5.3% in 2016, according to the International Monetary Fund’s latest World Economic Outlook. The economic growth is expected to bring in an increase of cargo volume, according to Evergreen Line.
The carrier’s capacity is expected to break 1 million teu in 2016, since it chartered 10 14,000 teu vessels in 2014, and another 11 18,000 teu ships in the beginning of 2015.
Evergreen Line’s revenue in the first quarter of 2015 totalled TWD35.28 billion (USD1.15 billion), up 2.82%. In March, its income reached TWD12.14 billion, growing 5.99%.
The carrier stated that freight rates of Euro-Asia lines declined a lot recently, and its performance relies on the annual renewal of North American services in May as well as the rate trend of European services.