Since the Red Sea crisis in November last year, the shocks to the shipping market caused by geopolitical conflicts and ship diversions continue.

The surplus capacity of containers has been largely consumed, and fuel costs remain high.

At the same time, the advance orders brought by the complex international situation have led to a shift in the supply and demand relationship in the container shipping market, and the East-West mainlines are entering a turbulent "bonus period."

However, looking at Asia, each sub-market shows a differentiated trend.

The Northeast Asia and cross-strait markets have basically not been affected by the Red Sea crisis, while the ripple effect of the Red Sea crisis has been delayed and transmitted to the Southeast Asia region.

Faced with market differentiation and uncertainty, sustainable profitability is the goal pursued by more shipping companies.

As a company that is good at staggered competition and has a strong "growth power" to develop incremental markets, how to achieve sustainable profitability?

Jinjiang Shipping has its own solution.

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Maintaining advantages and taking root in the main track, the global container shipping market is experiencing an "unconventional" bonus period under the continuous influence of the Red Sea crisis and geopolitical factors.

In terms of freight rates, according to data released by the Shanghai Shipping Exchange, from the outbreak of the Red Sea crisis in mid-November last year to August 9th, the China Containerized Freight Index (CCFI) for export from China increased from 872.11 points to 2138.32 points, a significant increase of 145.19%.

Among them, the comprehensive freight index in the first half of 2024 increased by 114.63% year-on-year, but different shipping areas showed differentiation (see Figure 1).

In the first half of 2024, the China Containerized Freight Index (CCFI) for export to Japan decreased by 18.90% year-on-year, and the container freight index between the two sides of the Taiwan Strait decreased by 13.60% year-on-year.

According to the semi-annual report data disclosed by the company this year, Jinjiang Shipping's operating income reached 2.679 billion yuan, and the net profit attributable to the parent company reached 317 million yuan.

According to Alphaliner data, as of June 30, 2024, among the top 100 global liner companies, Jinjiang Shipping's total transportation capacity ranked 33rd in the world's container liner companies, one place higher than the end of the previous year, and 7th among China's container liner companies.

The company operates a total of 51 ships, including 25 owned ships and 26 chartered ships, with a total transportation capacity of 52,000 TEUs, an increase of 6,900 TEUs from the end of the previous year.

Over the years, Jinjiang Shipping has been deeply involved in Northeast Asia, Southeast Asia, and domestic routes, especially in the mature operation of the Northeast Asia market.

Many routes such as Shanghai-Japan, Taicang-Japan, Qingdao-Japan, and Dalian-Japan are all carefully crafted boutique routes.

The operation of these routes not only realizes the layout of the "two centers" of China and Japan but also realizes the "two-way radiation" layout of China and the main ports of Southeast Asia.

With multi-level service models such as boutique routes, HDS (Hot Delivery Service), and Super HDS, it provides fast delivery services accurate to the hour and high punctuality rates and other differentiated advantages.

Its market share on the Shanghai-Japan route and the Shanghai cross-strait route has always been the first in the industry.

It is worth mentioning that on July 19, Shanghai Port successfully completed the first pilot of "9610" cross-border e-commerce maritime export, marking a new milestone in Shanghai's cross-border e-commerce logistics services.

As the executor of this pilot task, Jinjiang Shipping's "Glory Shengdong" ship carried the first "going abroad" voyage mission, connecting the Shanghai-Japan boutique route, playing the advantage of the main route transportation, seizing new track opportunities, enriching and expanding new paths for maritime export, and providing new development space.

Seizing the opportunity to develop incremental markets, according to the China Containerized Freight Index for export routes, the China Containerized Freight Index for export to Southeast Asia (CCFI) increased by 23.39% year-on-year in the first half of the year.

As a leading company in the Asian container shipping market, Jinjiang Shipping's route layout is not limited to the Northeast Asia market.

In fact, while keenly perceiving the growth potential of the Southeast Asia market, this shipping company that is good at cultivating regional boutique route services has begun to actively embrace the "Belt and Road" national strategy, serve the domestic and international dual circulation, and lay out the Southeast Asia routes around RCEP, successfully creating a second business growth pole.

Jinjiang Shipping has been aware of the potential of Southeast Asia since 2012 and has begun to lay out routes in Southeast Asia.

In recent years, the company has introduced boutique routes in Southeast Asia such as Haiphong Silk Road Express, Thailand-Vietnam Silk Road Express, and Thailand-Vietnam Express, and has successfully grafted boutique routes onto the incremental market.

Among them, the "Hai Phong Silk Road Express" has won the "Silk Road Maritime" high-quality named route of the year 2023 with its high-quality boutique service and high punctuality rate.

In order to further improve the company's route service level in the Southeast Asia region, Jinjiang Shipping continues to optimize its basic transportation capacity to provide customers with higher-quality route services.

In the first half of 2024, the company's 1900TEU series of green and energy-saving Bangkok-type ships specially tailored for the Southeast Asia route, "Tongdan" and "Tongli," were successively delivered and put into operation.

The newly built ships adopt advanced energy-saving designs, such as S-Bow straight bow line type, high-efficiency adaptive twisted rudder with rudder ball, etc., reducing the fuel consumption per box and meeting the EEDI Phase 3 emission requirements.

The 1900TEU series of container ships have a large number of heavy boxes and flexible loading capacity, becoming the main force of Jinjiang Shipping's Southeast Asia routes.

Public data shows that "Tongli" ship, as the third new ship of the 1900TEU series, successfully made its first voyage and was put into the Thailand-Vietnam Express CVT route.

This is another express route after the Haiphong Silk Road Express and the Thailand-Vietnam Silk Road Express.

This route provides fast shipping services from Shanghai to Bangkok, Thailand, achieving four-day direct access from Thailand to Shekou and seven-day express delivery from Thailand to Shanghai, meeting customers' needs for fast delivery of goods and further enriching Jinjiang Shipping's route services in the Southeast Asia region.

Judging the situation and laying out the "sustainable development" track, the global shipping industry is moving towards a green and digital transformation process.

Jinjiang Shipping judges the situation and actively lays out the "sustainable development" track.

Jinjiang Shipping, in cooperation with the Shanghai Ship Research and Design Institute, has fully launched the construction of intelligent ships.

According to the disclosed data in Jinjiang Shipping's 2024 semi-annual report, in the first half of 2024, the company added four ships to the intelligent system construction, applying a number of advanced technologies such as high-voltage shore power facilities and digital operation support systems (DOSS®), to achieve rolling monitoring of ship carbon intensity indicators, and promote the optimization and upgrading of green environmental protection, safe operation, and other work, further enhancing the company's operational efficiency, safety level, and economic benefits.

The two 1900TEU new ships delivered this year are also a new generation of green and energy-saving ships.

By adopting advanced designs such as twisted rudders and high-efficiency propulsion propellers, the energy efficiency of the ships has been significantly improved.

In the field of blockchain technology, Jinjiang Shipping relies on the Global Shipping Business Network (GSBN) data platform to promote the application of blockchain technology and achieve blockchain paperless exchange service with one-click exchange at multiple ports online.

This service not only solves the problem of customers' difficulty in offline exchange during the epidemic period but also improves service efficiency and customer experience.

In the field of Internet of Things technology, Jinjiang Shipping is committed to the intelligent control and management of refrigerated containers based on Internet of Things technology, equipped with intelligent monitoring terminal equipment IBOX, realizing real-time monitoring of the entire process of refrigerated container transportation, and ensuring the safety and controllability of cargo transportation.

In addition, Jinjiang Shipping has also deployed digital process robots (RPA) in multiple business processes, significantly improving work efficiency and accuracy.

This container shipping company, which is good at differentiated competition, can not only seize the fleeting "bonus" of the strong cycle market but also knows how to accumulate a steady "growth force".

At a higher strategic position, it sees a longer path of sustainable development.