Evergreen Marine Corporation

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Contact info Expand

  • 166, Mingsheng East Road
    Section 2
    Taipei
    104
    Zhongshan District
    Taiwan

    Tel: +886-02-25057766
    Fax: +886-02-25055256
    www.evergreen-marine.com

Senior Management Expand

 Chairman  Chang Yung-Fa

Ownership Expand

Evergreen Marine Corporation is a public company listed on the Taiwan Stock Exchange.

Brief Profile Expand

Taiwan-based Evergreen Marine Corporation (Evergreen) is a global container shipper that operates throughout Asia, the Middle East, Europe, the Americas, Australia, Africa and the Mediterranean. As a secondary business, Evergreen also operates a network of port terminals.

Evergreen operated the world's fourth largest vessel fleet (in terms of total container capacity) as at January 1, 2013. At the end of 2012, it was also the ninth largest global container terminal operator in terms of annual throughput (adjusted according to the extent of equity held in each terminal).

Evergreen's holding group, Evergreen Group, also has interests in air transportation and air cargo services.

For the year ended December 31, 2013, Evergreen reported revenues of NT$139.22bn.

Strategic Analysis Expand

Fleet Development

Evergreen continued to take delivery of a number of 8,452 TEUs L-Type vessels in 2013. The company anticipates that it will have taken delivery of 18 of the 30 vessels by the end of 2013, meaning that it expects to receive 11 of the vessels in the year.

Evergreen ordered 20 of the vessels from Samsung Heavy Industries in 2010 and a further 10 from CSBC Corp. in 2011.

Evergreen was also behind an order for ten 13,800 TEUs vessels which it would lease from Greece's Enesel on long-term charters.

As at January 1, 2013, Evergreen had the second largest amount of container vessel capacity on order at 376,876 TEUs. This was equivalent to 52.1% of Evergreen's existing fleet capacity (723,378 TEUs). Only Maersk had more capacity on order with 448,874 TEUs. In terms of ships, Evergreen had 38 on order, more than any other company.

Business Outlook

Evergreen appeared to be upbeat on the state of the global economy in 2013, stating that a bounceback appeared likely. It believed Europe would remain stagnant while the recovery in North America would be stronger supporting its main service strings.

Evergreen believed that opportunities remained on North-South trades and intra-regional services for shipping lines to exploit.

However the company warned that vessel oversupply in the container shipping industry would remain a problem.

© 2013 Transport Intelligence


Evergreen is expecting to deploy 30 new 8,452 TEUs ' L-Type' vessels from July 2012 to 2015.

The company is maintaining both its long and short term business plans, which focus on lowering costs, thus promoting recovery, as well as collaborating in joint ventures.

© 2012 Transport Intelligence
Strategy: 2010-2011 Archive

Short term

Evergreen Marine Corporation will continue to closely monitor market trends to see if it can exploit opportunities to increase its freight rates.

The fleet will be temporarily expanded by chartered vessels to meet high demand before the delivery of new vessels in 2012. In 2010, Evergreen chartered 69 vessels.

Long term

The Evergreen Group plans to spend more than US$5bn on the construction of new container vessels. Over the coming years, Evergreen intends to expand its own fleet by 100 ships, adding to the 81 ships that it currently owns.


Evergreen Marine Corporation entered into strategic alliances with its shipping counterparts through slot charters, slot exchanges and joint services. This provided access to extensive service networks and helped improve operational performance.

Evergreen also cancelled all round the world services and replaced them with pendulum services.

Evergreen continued to develop its feeder and inland transportation networks to provide links to provide a more extensive service network.

Investment in technology such as cargo tracking strengthened its competitiveness. Evergreen planned to have the latest technologies to put it at a competetive advantage.


Finances Expand

Evergreen Marine Corporation Finances: Total

2013

For 2013, Evergreen Marine Corporation reported annual revenues of NT$139,216.38m, a total which marked a year on year fall of 1.28%. Furthermore, the company's operating loss deepened to -NT$5,107.78m.

The company attributed the causes of these negative effects to the continued high oil price, depressed demand in the global economy, and overcapacity within the shipping industry.

2012

Evergreen Marine Corporation reported revenues of NT$141.0bn, a rise of 30.4% year-on-year. Operating profit improved to a loss of NT$1.2bn compared to a loss of NT$5.1bn in 2011.

The year was characterised by persistent vessel overcapacity. The container freight market was highly volatile in the year. Carriers were able to exercise some degree of market power, by raising average freight rates by 51% in several successful rounds of general rate increases in the first half of 2012 despite generally weak demand and poor load factors. The successful rate rise was driven by pricing discipline amongst carriers, after almost all of them posted negative operating results in the first quarter of 2012. However, their success was short-lived as container lines reverted to rate competition in the second half of the year as positive operating incomes spurred some carriers back to trying to obtain more market share.
Note: In 2014, the company restated its 2013 operating profit figure. The original figure stated was -NT$5,107.78m.
Note: Finances for 2012 were restated as a result of Evergreen Marine adopting International Financial Reporting Standards, which differ from the previously used Republic of China Generally Accepted Accounting Practice. The previously stated results were: Revenues - NT$141,028.12m; Operating loss - -NT$1,271.37m.

Note: The financial figures reported concern Evergreen Marine Corporation and its subsidiaries, not the single entity Evergreen Marine Corporation (Taiwan).
Evergreen Marine Corporation Finances: Total [NT$] Convert to
  2008 2009 2010 2011 2012 2013 2014 2015
Revenues 129002.26 m 81936.32 m 109353.18 m 108156.06 m 141026.39 m 139216.38 m 144284.37 m 133813.69 m
Operating Profit 2829.46 m -12272.34 m 12718.70 m -5117.70 m -1116.03 m -773.16 m 3758.02 m -3847.03 m
Margin 2.19 % -14.98 % 11.63 % -4.73 % -0.90 % -0.56 % 2.60 % -2.87 %
Export to Excel      Source: Evergreen Marine Corporation,  Last update: 03/08/2016

Source: Evergreen Marine Corporation
Evergreen Marine Corporation Finances: Revenue by Business Segment % to Total

2013

Once more, Marine freight accounted for the vast majority of Evergreen's annual revenues (92.2%), though -2.21% less in absolute terms than during the previous year.

With the exception of Ship Rental (down 21.64% to NT$1,905.07m) however, all of Evergreen's other business segments improved their revenues against the 2012 figure; Agency Service & Commission was up 4.08% to NT$1,728.66m, whilst Container Manufacturing increased by 16.35% to NT$2,654.49m, and 'Others' grew by 35.56% to NT$4,507.81m.

2012

Marine Freight revenue reached NT$131.3bn, a rise of 27.7% year-on-year.


Note: Agency Service and Commission revenues for 2012 were restated from NT$1,662.57m.

Evergreen Marine Corporation Finances: Revenue by Business Segment % to Total [NT$] Convert to
  2009 2010 2011 2012 2013 2014 2015
Marine Freight 77147.30 m 104680.81 m 102841.93 m 131327.61 m 128420.36 m 132483.87 m 122343.91 m
Agency Service & Commission 1664.12 m 1767.41 m 1587.60 m 1660.83 m 1728.66 m 1658.46 m 1373.28 m
Container Manufacturing 9.99 m 261.95 m 289.15 m 2281.57 m 2654.49 m 2384.98 m 2378.63 m
Ship Rental 1048.86 m 660.25 m 958.87 m 2431.14 m 1905.07 m 2002.95 m 2334.78 m
Others 2066.03 m 1982.75 m 2478.52 m 3325.24 m 4507.81 m 5754.11 m 5383.09 m
Export to Excel      Source: Evergreen Marine Corporation ,  Last update: 03/08/2016

Source: Evergreen Marine Corporation
Evergreen Marine Corporation Finances: Revenue by Geographic Location % to Total
Note: The revenue figure presented for Europe in 2012 was restated from NT$39,397.7m.
Evergreen Marine Corporation Finances: Revenue by Geographic Location % to Total [NT$] Convert to
  2010 2011 2012 2013 2014 2015
Domestic 16586.24 m 15258.10 m 16059.90 m 16889.30 m 22927.88 m 21898.20 m
North America 54788.87 m 59697.20 m 81688.82 m 75436.75 m 62734.15 m 59996.82 m
Europe 36523.46 m 31482.98 m 39395.97 m 42635.21 m 54683.69 m 48268.82 m
Asia 1041.56 m 1286.38 m 3475.95 m 3844.54 m 3511.79 m 3284.71 m
Others 413.05 m 431.40 m 405.76 m 410.59 m 426.87 m 365.14 m
Export to Excel      Source: Evergreen Marine Corporation,  Last update: 03/08/2016

Source: Evergreen Marine Corporation
Evergreen Marine Corporation Finances: Revenue by Trade Lane % to Marine Freight Revenue
Evergreen Marine Corporation Finances: Revenue by Trade Lane % to Marine Freight Revenue [NT$] Convert to
  2011 2012 2013 2014 2015
North America 41136.77 m 53844.32 m 55220.75 m 51668.71 m 53831.32 m
Europe 25710.48 m 34145.18 m 28252.48 m 31796.13 m 22021.90 m
Asia 21596.81 m 24952.25 m 24399.87 m 29146.45 m 28139.10 m
Other 14397.87 m 18385.87 m 20547.26 m 19872.58 m 18351.59 m
Export to Excel      Source: Evergren Marine Corporation,  Last update: 03/08/2016

Source: Evergren Marine Corporation
Evergreen Marine Corporation Finances: 2006-2011 Archive

2011

Total

Evergreen Marine Corporation reported a decrease in its annual revenues of NT$1.2bn from the 2010 revenue of NT$109.4bn to the 2011 revenue of NT$108.2bn.

The company recorded an operating loss of $5.1bn, down from an operating profit of $12.7bn in 2010.

Revenue by Business Segment % to Total

The Evergreen business segments of Marine Freight and Agency Service and Commission both saw decreases in total revenue, whilst Container Manufacturing, Ship Rental and Others, all saw increases.

The Marine Freight segment revenue decreased by 2% to NT$102.8bn for 2011, whilst Agency Service and Commission decrease by 11% to NT$1.6bn. Container Manufacturing rose by 10% for the year to NT$289.2m, Ship Rental increased by 45% to NT$958.9m, and the Others section increased by 25% to NT$2.5bn.

Revenue by Geographic Location % to Total

For 2011, North America continued to be the largest segment, generating over NT$59bn. This was followed by Europe with NT$31bn, then Domestic with NT$15bn. The Asia Region bought in NT$1.2bn, whilst Other locations generated NT$431m.
2010

Total

Evergreen Marine Corporation recorded revenues of NT$109.4bn in 2010, a year on year increase of 33.5%. Operating profit climbed to NT$12.7bn, up from a loss of NT$12.3bn the previous year.

Operating profit increased by as much as revenue. Revenue grew by NT$27.4bn, and operating profit rose by NT$25.0bn.

The improved financial performance can be attributed to the rebound of the global economy in 2010. The demand for global container services exceeded supply, allowing freight rates to rise. Evergreen also attempted to satisfy the increased demand for container services by chartering vessels.

Revenue by Business Segment % to Total

Marine Freight revenue increased by 35.6% to NT$104.68bn. This illustrated the growth in demand for container shipping in 2010.

All other segments were relatively insignificant compared to Marine Freight. In sum, they represented less than 5% of total revenue in 2010.

Revenue by Geographic Location % to Total

The Americas was the largest segment, generating NT$54.8bn. Europe was the second largest, accruing NT$36.5bn. The China Domestic segment came next, earning NT$36.5bn. The rest of Asia and Others revenue was very small relative to all other segments, with the figures being NT$1.0bn and NT$0.4bn respectively.

2009

Total

Evergreen Marine Corporations's revenue for 2009 was NT$81.9bn. Its operating profit was NT$12.3bn.


2008

Total

Evergreen's revenue for 2008 was NT$129.0bn. Its operating profit was NT$2.8bn.


2007

Total

Evergreen Marine Corporation reported revenues of NT$144.9bn and an operating profit of NT$10.3bn.


2006

Total

Evergreen Marine reported revenues of NT$150.1bn. This represents an increase of 6.6% from NT$140.7bn in 2005.

However, despite increasing revenues, the company closed the year operating at a loss of NT$3.6bn compared to a profit of NT$12.7bn in 2005.

Operational Analysis Expand

Operations: Overview

Evergreen Marine provides services at more that 240 locations, and its shipping network covers 80 countries.

The network includes several east-west routes linking southeast Asia, Hong Kong, Taiwan, Mainland China, Korea and Japan with the east and west coasts of the US. It also provides services from Japan, Korea, Mainland China, Taiwan, Hong Kong and Southeast Asia to Europe and the Mediterranean.

The company's fleet as at January 1, 2013, consisted of 182 vessels with a total capacity of 723,378 TEUs, corresponding to an average capacity of 3,975 TEUs. Almost half (47.1%) of these vessels were chartered.

Operations: Shipping Routes

Far East - North America and Far East - Central America and the Caribbean

Evergreen Line's busiest trade route is that between the Far East and North America. Customer demand on this route is for tightly scheduled and frequent transportation services. Not only offering high-speed transportation services to West Coast ports in the US, Evergreen Line also utilises the double stack train services that link these West Coast ports with cities on the East and Gulf coasts, the Mid-West and other inland centres of population and industry.

For those customers preferring direct routes connecting the Far East with East Coast ports in the US, Evergreen Line offers all-water services via the Panama Canal.

Another coordinated route connects the Far East with the Caribbean, utilising Panama's Colon Container Terminal for transhipment.

Far East - North Europe and Mediterranean

Evergreen Line offers a complete range of full container services linking ports between North Europe, the Mediterranean and all principal Asian ports. Coordinated feeder services connect secondary ports throughout Europe, the Eastern Mediterranean, Mainland China and South East Asia with primary Evergreen Line routes.

Europe and Mediterranean - America East Coast and Gulf of Mexico

Evergreen Line offers services between Europe, Mediterranean and the East Coast of North America as well as the Gulf of Mexico.

Far East - Australia, and Far East - South Africa and South America

Evergreen Line offers routes from the Far East to South Africa and across the South Atlantic to South America. It also operates north-south routes between the Far East and Australia. Port rotations include stops in South East Asia and North East Asia as well as East Coast ports in Australia. These routes also connect to other primary routes served by Evergreen mother vessels, such as to the South America West Coast.

Intra-Asia, Asia - Middle East and Indian Sub-Continent

Evergreen Line offers full container service to meet the demands of customers shipping cargo in between European countries as well as Mediterranean countries. Utilising Evergreen Line's feeder vessels as well as those of other companies in strategic alliances with Evergreen Line, ports in India, Pakistan and Bangladesh also become part of the Evergreen worldwide transportation network.

Intra-Europe and Mediterranean

Evergreen Line offers a full container service to meet the demands of customers shipping cargo in between European countries as well as Mediterranean countries.

Europe - East Coast of South America

Evergreen Line operates services linking Northern Europe and the East Coast of South America.

Operations: European Routes
 European Export Routes (as at August 2013)
 Trade Lane  Number of Routes
 Europe-Asia  12
 Europe-North America  2
 Europe - Africa  2
 Mediterranean Feeder Service  11
 Intra Europe Feeder Service  10
 Source: Evergreen Marine Corporation

 

 European Routes
 
 Source: Evergreen Marine Corporation
Operations: Asian Routes
 Asian Export Routes (as at August 2013)
 Trade Lane  Number of Routes
 Asia - Australia  4
 Asia - Europe  12
 Asia - North America  14
 Asia - Africa  4
 Asia - South America  4
 Intra-Asia, Persian Gulf  63
 Source: Evergreen Marine Corporation

 

 Asian Routes
 
 Source: Evergreen Marine Corporation
Operations: Americas Routes
 Americas Export Routes (as at August 2013)
 Trade Lane  Number of Routes
 North America - Asia  13
 North America - Europe  2
 North America - South America  1
 South America - North America  1
 Caribbean Feeder Service  9
 South America - Asia  4
 South America (West Coast)  1
 Source: Evergreen Marine Corporation

 

 Americas Route Map
 
 Source: Evergreen Marine Corporation
Operations: Africa Routes
 African Export Routes (as at August 2013)
 Trade Lane  Number of Routes
 Africa - Europe  2
 Africa - Asia  4
 Source: Evergreen Marine Corporation
Operations: Terminals

Overall Volumes

According to Drewry Maritime Research, in 2011, Evergreen's portfolio of terminals reported container throughput of 6.9m TEUs, ranking it eighth in the world.

The above figure includes total annual throughput for all terminals in which Evergreen held shareholdings in as at December 31, 2011, adjusted according to the extent of equity held in each terminal.

Taichung Container Terminal

Taichung Container Terminal acts as a transit hub connecting major ports such as Tokyo, Osaka, Pusan, Hong Kong, Singapore, Port Kelang, Bangkok and Jakarta, as well as the many other ports served by Evergreen's intra-Asia services.

Evergreen also runs some of its local import and export traffic through the terminal. The terminal is 570 m in length and 14 m deep.

Kaohsiung Container Terminal

Evergreen operates from six berths at the Port of Kaohsiung. These facilities have an annual capacity of 2m TEUs.

Its three newest berths have a total length of 815 m and a combined space of 400,000 sq m, and can serve three container ships simultaneously.

The stacking capacity is sufficient for 20,000 TEUs of dry containers as well as 5,500 TEUs of empty containers and there are 824 reefer plugs.

Eight post Panamax ship to shore gantry cranes operate on the terminal, supported by 24 rail mounted yard gantry cranes and three empty container stackers.

In 2007, Evergreen extended its lease on the three newest berths for a further 11 years, until 2018.

Colon Container Terminal

Located at Coco Solo, Republic of Panama, Colon Container Terminal is in an ideal location for transshipment linking Pacific trades, Atlantic trades and North-South trades.

It is capable of serving two Panamax vessels simultaneously, and has an annual capacity of approximately 400,000 TEUs.

It also has 612 m of quay with a depth of 14 m and covers 25 ha.

Its berth is 370 m in length and is equipped with three shore cranes together with a 12 ha container yard equipped with eight rubber tyred gantry cranes.

Taranto Container Terminal

Taranto Container Terminal became a 50:50 joint venture between Evergreen and Hutchison Port Holdings in December 2008. Previously, Evergreen was the sole owner.

Situated in Southern Italy, Taranto Container Terminal is linked directly to the Italian rail network allowing block trains to be operated to and from industrial areas in Northern Italy. 

It is also served by a feeder network that connects other Italian ports, the West and East Mediterranean, the Adriatic Sea and the Black Sea also serves the terminal.

It operates a 1,500 m quay which is equipped with eight post Panamax ship to shore cranes and 24 rail-mounted container stacking cranes.

The berths offer a depth of 15 m, sufficient for the largest vessels currently operating.

The operating capacity of the Taranto Container Terminal will reach 2m TEUs per year in the near future.

Evergreen Los Angeles Terminal

Evergreen operates a container terminal at the Port of Los Angeles. The terminal features three berths with a cumulative lnegth of 4,700 ft. Eight post-Panamax cranes operate at the terminal.

Evergreen Pierce County Container Terminal, Tacoma

Evergreen commenced operations at the Pierce County Container Terminal at the Port of Tacoma in 2005. The terminal is operated in partnership with Ports America. It features two berths with a cumulative length of 2,260 ft and eight cranes.

Evergreen Container Terminal Thailand

Evergreen commenced operations at terminal B2 at the Port of Laem Chabang in 1993. The pier is 300 m long and has a depth alongside of 14 m. It handles around 600,000 TEUs each year.

Thamesport, UK

Evergreen obtained a minority stake in Thamesport following a cross-share agreement with Hutchison Port Holdings in December 2008.

ECT Delta Terminal, Rotterdam

Evergreen obtained a minority stake in the ECT Delta Terminal at the Port of Rotterdam following a cross-share agreement with Hutchison Port Holdings in December 2008.

Operations: 2016 News

2016

April – CMA CGM, COSCO Container Lines, Evergreen Line and Orient Overseas Container Line have announced the signing of a Memorandum of Understanding to form a new Alliance. The new alliance is expected to enable each party to offer competitive products and comprehensive service networks covering the Asia-Europe, Asia-Mediterranean, Asia-Red Sea, Asia-Middle East, Trans-Pacific, Asia-North America East Coast, and Trans-Atlantic trades.

In a joint statement, signing members said, "This new partnership will allow each of its members to bring significantly improved services to its respective customers." Adding, "Shippers will have an attractive selection of frequent departures and direct calls to meet their supply chain needs, including access to a vast network with the largest number of sailings and port rotations connecting markets in Asia, Europe and the United States."

Initially the deployment is expected to cover more than 40 services globally, with a fleet of more than 350 containerships, mostly connected with Asia, including about 20 services each in the US and Europe related trades.

Subject to regulatory approvals of competent authorities, the new Alliance plans to begin operations in April 2017.  The initial period of the Alliance is expected to be five years.

Upon signing the MOU, the CEO of Orient Overseas Container Line remarked, "The extensive network and port coverage of the new alliance will offer our customers a wide range of choices and highly competitive services for their supply chains.  The new alliance will also be a platform for our ongoing growth as well as improve our cost and efficiency".

Further details about OCEAN Alliance and the transition plans from the four member lines in their current alliances are due to be communicated to stakeholders and the market in due course.
Operations: 2015 News

2015

September - Evergreen Group has signed an order with Japanese shipbuilder Imabari for ten 2,800 TEU vessels. These are in addition to the order for ten similar vessels announced last month from CSBC in Taiwan.

The first ship is planned to be delivered during the first half of 2018 with the completion of the series due by the first half of 2019. All twenty vessels are planned to be deployed in the intra-Asia trade.

Evergreen's ordered vessels are expected to be 211 m in length, 32.8 m wide, and have a design draft of 10 m with a capacity of around 2,800 TEU. The ships are planned to be designed to load 13 rows of containers on deck, which is within the span of existing gantry cranes in the major ports on the intra-Asian trade. The hull design of the vessels is expected to be wider in comparison to ships of a similar capacity. Such design is planned to enable the ships to navigate in the shallower ports encountered in the intra-Asia trade.

The agreement for these vessels is the third project in which Imabari will participate in Evergreen Line's fleet renewal program. Evergreen has signed agreements with Shoei Kisen Kaisha, the ship owning arm of Imabari Shipbuilding Group, to charter five 14,000 TEU containerships to be delivered in 2017 and eleven 18,000 TEU containerships to be delivered in 2018 and 2019.
Operations: 2014 News

2014

July - Evergreen Line announced the launch of its new 8,452 TEU L-type containership, Ever Lucky. It was the twentieth such ship built at the Samsung Heavy Industries shipyard. The vessel, owned by Greencompass Marine SA, Evergreen Line’s Panamanian subsidiary, would be deployed on Evergreen's Far East-US west coast service.

Evergreen's First Vice Group Chairman said, "It was in July 2012 that we took delivery of the first L-type vessel from Samsung Heavy Industries. Each of the newbuildings since has been delivered perfectly to schedule and has been performing very well. Because of this smooth implementation of our fleet renewal programme, we can continue to provide quality service to our customers and enhance the competitiveness of our operating fleet within the global market."

In 2010 Evergreen commenced its current fleet renewal, which in total included 30 L-type vessels, 20 of which had been ordered from Samsung Heavy Industries and the other 10 from the CSBC Corporation, Taiwan. With the delivery of Ever Lucky Evergreen concluded its L-type project with Samsung and brought its operating fleet of such vessels to 25 ships.

The remaining five newbuildings would be delivered by the third quarter of 2015. While integrating the new ships into its fleet, Evergreen was planning to return 24 chartered vessels over 2014 and 2015.


 

January - Evergreen Marine Corporation announced that it would charter a further seven 14,000 TEU newbuilds as part of its fleet renewal programme.

The identity of the buyer that would order the ships and lease them to Evergreen was unknown. Delivery was scheduled for 2016 and 2017.

In a statement the company said, "The newbuilds will be replacements for existing vessels and balanced by the redelivery of currently chartered ships when charter periods expire."

The carrier's fleet included 21 ships on order with a combined capacity of 214,400 TEU. It was comprised of a series of L-class 8,500 TEU and 13,800 TEU ships being taken on long-term charter from Greece's Enesel. The first few vessels of this 10-strong order had already been delivered.

Operations: 2012 News

2012

December - Evergreen Line announced that together with X-Press it would launch a new service linking major ports on the West Coast of Central America in mid-December 2012. The new West Coast of Central America (WCA) service would connect to Evergreen Line's Asia - South America West Coast (WCA) service via Manzanillo, Mexico, offering a more comprehensive service network between Far East and Central America.

Two vessels of approximately 900 TEU would be deployed in the joint service, in which Evergreen Line would deploy the 966 TEU Georgia, while the other ship of similar capacity would be operated by X-Press.

The port rotation for the 14-day voyage was as follows:

Manzanillo (Mexico) - Puerto Quetzal (Guatemala) - Acajutla (El Salvador) - San Lorenzo (Honduras) - Corinto (Nicaragua) - Caldera (Costa Rica) - Manzanillo (Mexico).
Operations: 2011 News

2011

Trans-Pacific trade

April - Operations began on the WSA service, providing a new link from the Far East to the West Coast of South America. Evergreen Line, COSCO Container Lines, Pacific International Lines, and Wan Hai Lines all have vessels on the route.


Far East-Europe trade

March - Evergreen Line, China Shipping Container Lines (CSCL) and Zim Integrated Shipping Services (ZIM) announced the joint weekly Asia-Europe service. The service was dubbed as CES2 by Evergreen and AEX2 by CSCL and ZIM.

The new service adds the ports of Xiamen in South China and Antwerp in Belgium.

The three carriers together will deploy nine ships with capacities of between 8,000 TEUs and 8,500 TEUs. Evergreen will supply five 8,000 TEUs vessels. One 8,000 TEUs and two 8,500 TEUs vessels will come from ZIM fleet and one 8,000 TEUs from CSCL.


Intra-Asia trade

October - The HBI (Hua Bei-Hong Kong-Indonesia service) was reorganised into two feeder loops.

The Hua Bei-Hong Kong service (HBH) and the Tanjung Pelepas-Indonesia service (PIS) will fully cover the scope of the previous HBI route.

July - The KCS service was launched, providing a new trade route from Taiwan to the Phillipines. One 950 TEUs ship operates the route.

April - The TMT service commenced operations, providing a weekly link between Taiwan and Madras, India. Evergreen, Wan Hai Lines and Interasia lines all operate on the route.

March - Evergreen Line launched a weekly Thailand-Malaysia-Indonesia service (TMI), replacing the IS1 service.

The inauguration of the TMI service was in line with the increased demand from domestic markets in Thailand, Malaysia, and Indonesia.

One ship of 900 TEUs and one ship of 820 TEUs are deployed on the route.

March - The new JTS (Japan-Taiwan-South China Sea) service began. Three ships of 900 TEUs operate on the route.


East Africa trade

August - With partner Mitsui OSK Lines, Evergreen Marine Corporation formed a new route linking Asia to South East Africa.

The MZX (Mozambique Zuid Africa Express Service) route is operated by five ships, and includes stops in Malaysia, Singapore, Mauritius, South Africa, and Mozambique.

April - Evergreen Line, Wan Hai Lines, Mitsui OSK Lines and Seacon started the AEF weekly joint service going from Asia to East Africa.

The AEF service has six ships on it with capacities of between 1,200 TEUs and 1,350 TEUs. Evergreen and Wan Hai Lines supply two vessels each and Mitsui OSK Lines and Seacon supply one each.

Employees Expand

Employees    
2012 1,289
2011 1,230

Products And Services Expand

Container Shipping Services

Reefer Container Services

  • fruit and vegetables
  • meat
  • seafood
  • dairy products
  • confectionery
  • non-alimentary and pharmaceutical products.

E-commerce Services

  • interactive sailing schedules
  • cargo tracking
  • electronic bill of lading.

Mergers Acquisitions Expand

Alliances

Sister Concerns

Other sister concerns

Major Contracts Listing Expand

Major Contracts: 2011 News

2011

May - The Evergreen Group has placed an order with CSBC Corporation to build 10 container vessels, each with a capacity of 8,000 TEUs for US$1.03bn. The vessels will start to be delivered towards the end of 2013.

Three of the new vessels will be built for Evergreen Marine Corporation (Taiwan), four for Evergreen Marine (UK), and the remaining three for Evergreen Marine (Singapore).
Major Contracts: 2010 News

2010

September - Evergreen ordered 10 additional vessels from Samsung Heavy Industries, each with a capacity of 8,000 TEUs. This follows an identical order made in July. The contract is worth US$1.03bn.

July - Evergreen has commissioned Samsung Heavy Industries to construct 10 container ships, each with a capacity of 8,000 TEUs. It will cost Evergreen US$1.03bn.

 

Regions

Vertical Sectors

Logistics markets

  • Sea Freight

    Sea Freight: 2016 News

    2016

    April – CMA CGM, COSCO Container Lines, Evergreen Line and Orient Overseas Container Line have announced the signing of a Memorandum of Understanding to form a new Alliance. The new alliance is expected to enable each party to offer competitive products and comprehensive service networks covering the Asia-Europe, Asia-Mediterranean, Asia-Red Sea, Asia-Middle East, Trans-Pacific, Asia-North America East Coast, and Trans-Atlantic trades.

    In a joint statement, signing members said, "This new partnership will allow each of its members to bring significantly improved services to its respective customers." Adding, "Shippers will have an attractive selection of frequent departures and direct calls to meet their supply chain needs, including access to a vast network with the largest number of sailings and port rotations connecting markets in Asia, Europe and the United States."

    Initially the deployment is expected to cover more than 40 services globally, with a fleet of more than 350 containerships, mostly connected with Asia, including about 20 services each in the US and Europe related trades.

    Subject to regulatory approvals of competent authorities, the new Alliance plans to begin operations in April 2017.  The initial period of the Alliance is expected to be five years.

    Upon signing the MOU, the CEO of Orient Overseas Container Line remarked, "The extensive network and port coverage of the new alliance will offer our customers a wide range of choices and highly competitive services for their supply chains.  The new alliance will also be a platform for our ongoing growth as well as improve our cost and efficiency".

    Further details about OCEAN Alliance and the transition plans from the four member lines in their current alliances are due to be communicated to stakeholders and the market in due course.
    Sea Freight: 2015 News

    2015

    September - Evergreen Group has signed an order with Japanese shipbuilder Imabari for ten 2,800 TEU vessels. These are in addition to the order for ten similar vessels announced last month from CSBC in Taiwan.

    The first ship is planned to be delivered during the first half of 2018 with the completion of the series due by the first half of 2019. All twenty vessels are planned to be deployed in the intra-Asia trade.

    Evergreen's ordered vessels are expected to be 211 m in length, 32.8 m wide, and have a design draft of 10 m with a capacity of around 2,800 TEU. The ships are planned to be designed to load 13 rows of containers on deck, which is within the span of existing gantry cranes in the major ports on the intra-Asian trade. The hull design of the vessels is expected to be wider in comparison to ships of a similar capacity. Such design is planned to enable the ships to navigate in the shallower ports encountered in the intra-Asia trade.

    The agreement for these vessels is the third project in which Imabari will participate in Evergreen Line's fleet renewal program. Evergreen has signed agreements with Shoei Kisen Kaisha, the ship owning arm of Imabari Shipbuilding Group, to charter five 14,000 TEU containerships to be delivered in 2017 and eleven 18,000 TEU containerships to be delivered in 2018 and 2019.
    Sea Freight: 2011 News

    2011

    May - The Evergreen Group has placed an order with CSBC Corporation to build 10 container vessels, each with a capacity of 8,000 TEUs for US$1.03bn. The vessels will start to be delivered towards the end of 2013.

    Three of the new vessels will be built for Evergreen Marine Corporation (Taiwan), four for Evergreen Marine (UK), and the remaining three for Evergreen Marine (Singapore).

Other related logistic markets

News

  • 20/04/2016 CMA CGM, COSCO Container Lines, Evergreen Line and Orient Overseas Container Line to establish OCEAN Alliance
    20/04/2016

    CMA CGM, COSCO Container Lines, Evergreen Line and Orient Overseas Container Line have announced the signing of a Memorandum of Understanding to form a new Alliance. The new alliance is expected to enable each of parties to offer competitive products and comprehensive service networks covering the Asia-Europe, Asia-Mediterranean, Asia-Red Sea, Asia-Middle East, Trans-Pacific, Asia-North America East Coast, and Trans-Atlantic trades.

    In a joint statement, signing members said, “This new partnership will allow each of its members to bring significantly improved services to its respective customers.” Adding, “Shippers will have an attractive selection of frequent departures and direct calls to meet their supply chain needs, including access to a vast network with the largest number of sailings and port rotations connecting markets in Asia, Europe and the United States.”

    Initially the deployment is expected to cover more than 40 services globally, with a fleet of more than 350 containerships, mostly connected with Asia, including about 20 services each in the US and Europe related trades.

    Subject to regulatory approvals of competent authorities, the new Alliance plans to begin operations in April 2017.  The initial period of the Alliance is expected to be five years.

    Upon signing the MOU, Andy Tung, CEO of Orient Overseas Container Line remarked, “The extensive network and port coverage of the new alliance will offer our customers a wide range of choices and highly competitive services for their supply chains.  The new alliance will also be a platform for our ongoing growth as well as improve our cost and efficiency”.

    Further details about OCEAN Alliance and the transition plans from the four member lines in their current alliances are due to be communicated to stakeholders and the market in due course.

    Source: CMA CGM, COSCO Container Lines, Evergreen Marine Corp., Orient Overseas Container Line

  • 28/10/2015 Evergreen Orders Ten 2,800 TEU Class Vessels from Imabari
    28/10/2015

    Evergreen Group has signed an order with Japanese shipbuilder Imabari for ten 2,800 TEU class B–type vessels. These are in addition to the order for ten similar vessels already announced from CSBC in Taiwan.

    The first ship is planned to be delivered during the first half of 2018 with the completion of the series due by the first half of 2019. All twenty ships are planned to be deployed in the intra–Asia trade.

    Evergreen's B–type vessels will be 211 m in length, 32.8 m wide, and have a design draft of 10 m with a capacity of around 2,800 TEU. The ships are designed to load 13 rows of containers on deck, which is within the span of existing gantry cranes in the major ports on the intra–Asian trade. The hull design of the vessels is wider in comparison to ships of a similar capacity. Such design enables the ships to navigate in the shallower ports encountered in the intra–Asia trade and to enhance their cargo carrying capability. The ships can cruise at a speed up to 21.8 knots, assisting their on–time performance and competitiveness.

    This agreement represents the third project in which Imabari expects to participate in Evergreen Line's fleet renewal program. Evergreen has signed agreements with Shoei Kisen Kaisha, the ship owning arm of Imabari Shipbuilding Group, to charter five 14,000 TEU containerships due to be delivered in 2017 and eleven 18,000 TEU containerships due to be delivered in 2018 and 2019.

  • 15/09/2015 Evergreen orders ten new 2,800 TEU vessels
    15/09/2015

    Evergreen Group has signed an order with Japanese shipbuilder Imabari for ten 2,800 TEU vessels. These are in addition to the order for ten similar vessels announced last month from CSBC in Taiwan.

    The first ship is planned to be delivered during the first half of 2018 with the completion of the series due by the first half of 2019. All twenty vessels are planned to be deployed in the intra–Asia trade.

    Evergreen´s ordered vessels are expected to be 211 m in length, 32.8 m wide, and have a design draft of 10 m with a capacity of around 2,800 TEU. The ships are planned to be designed to load 13 rows of containers on deck, which is within the span of existing gantry cranes in the major ports on the intra–Asian trade.The hull design of the vessels is expected to be wider in comparison to ships of a similar capacity. Such design is planned to enable the ships to navigate in the shallower ports encountered in the intra–Asia trade.

    The agreement for these vessels is the third project in which Imabari will participate in Evergreen Line´s fleet renewal program. Evergreen has signed agreements with Shoei Kisen Kaisha, the ship owning arm of Imabari Shipbuilding Group, to charter five 14,000 TEU containerships to be delivered in 2017 and eleven 18,000 TEU containerships to be delivered in 2018 and 2019.

  • 07/01/2014 Evergreen to renew fleet
    07/01/2014

    Evergreen Marine Corporation has announced that it will charter a further seven 14,000 TEU newbuilds as part of its fleet renewal programme.

    The identity of the buyer that will order the ships and lease them to Evergreen is unknown. Delivery is scheduled for 2016 and 2017.

    In a statement the company said, "The newbuilds will be replacements for existing vessels and balanced by the redelivery of currently chartered ships when charter periods expire."

    The carrier's fleet includes 21 ships on order with a combined capacity of 214,400 TEU. It is comprised of a series of L–class 8,500 TEU and 13,800 TEU ships being taken on long–term charter from Greece's Enesel. The first few vessels of this 10–strong order have already been delivered.

Briefs

  • 23/11/2016 The shipping sector continues to suffer
    23/11/2016

    The latest numbers from the French based container shipping giant CMA GGM were as to be expected. Although revenue was up by a third to €4.47bn for Q3, the big jump was driven by the acquisition of Neptune Orient Lines (NOL) earlier in the year. The underlying revenue picture saw a fall of 16.3%, whilst the underlying profit picture was worse with negative ‘core’ EBIT (Earnings Before Interest, Tax), a loss of €42m. Including the NOL contribution there was a loss of €82m. On a consolidated basis the quarter saw a loss of €268m.

    Although container volumes rose strongly, driven by the NOL acquisition, on an underlying basis TEUs (Twenty Foot Equivalent Units) moved fell by 2.7% to 3.2m for the original CMA CGM vessels. This fall in volume was driven by attempts to focus on better yielding cargo. Despite this, revenue per TEU for the core CMA CGM business fell by 13.9% year-on-year, although the company said that it rose 3.8% quarter-on-quarter “bringing an end to a downward trend that had lasted for more than a year”. What has made the results somewhat better than they might have been was a focus on unit cost reduction which delivered a 9.7% improvement, along with lower bunker fuel costs.

    The picture described by CMA CGM is hardly surprising, indeed the distress felt by other companies is likely to be more acute. For example, the Taiwanese government has confirmed a Wall Street Journal report that it is organising a US$1.9bn credit-line to the Taiwan based shipping-lines, Yang Ming Marine Transport Corporation and Evergreen Marine Corporation at an advantageous interest rate of 2.9%. It is also reported that the two lines had discussed merging their two businesses, however no decision had yet been taken.

    Of course, all shipping lines, from CMA CGM, to Evergreen to Yang Ming have seen major increases in their capacity. The Wall Street Journal reported that Evergreen alone has 11 super post- panamax vessels with a capacity of 18,000 TEUs each still on order.

    Source: Transport Intelligence, November 23rd 2016

    Author: Thomas Cullen

  • 18/05/2009 Fall in Chinese exports a key factor in container shipping line losses
    18/05/2009

    Last week saw the Chinese government release figures showing a major decline in the country's exports. Total exports in April were down 22.6% on the comparable month in 2008. That performance followed an annualised fall of 17.1% in March. Imports also fell by 23% in April on an annualised basis.

    Coinciding with that news from China, major global container shipping lines Maersk, Hapag–Lloyd, Neptune Orient Lines and Evergreen Marine all announced huge losses for the first quarter of this year. Such is the savage state of the container shipping market, that Maersk's owner, Danish conglomerate A.P. Moller–Maersk, may be driven into loss for the entire year. Maersk's container business suffered a first quarter a loss in terms of EBIT (earnings before interest and tax) of US$424m, with revenue down almost 40%. Volumes fell 14%.

    All the container shipping company losses were driven by the collapse in demand and a surfeit of capacity in the market. Eivind Kolding, CEO of Maersk, tacitly admitted to analysts and journalists that the line had yet again cut its container rates on eastbound transpacific routes by more than 10%. Other routes were only slightly less bad, as container lines desperately tried to secure any cargo to fill their ships.

    Although the issue of too many ships is important, global shipping fleet capacity has in fact been cut by around 10%. The real problem is the volume falls in the China trade. A fall of 25% in exports from China, as was seen in April, calls into question the viability of the present structure of the container shipping sector.

    The terrifying thing for shipping companies is that the drop in volumes may get worse if China's competitiveness as an exporter declines. Economies such as those of the US and the UK are rebalancing their trade, whilst the economy of South Korea, for example, is showing signs of stabilising its exports.

    That represents a major change in the trading pattern of the world and therefore of the container shipping sector. The problem is the container shipping sector is orientated to making money from the China trade. That is where the shortages of capacity were in the recent past, not on export lanes from Europe, North America or indeed from other areas of east Asia.

    Like the Chinese government, shipping companies must be hoping for a return to the export performance of the past 10 years. But is that really realistic? If it is not, how will the container shipping sector change?

  • 14/01/2009 Resistance to TSA's capacity control bid increases
    14/01/2009

    Resistance is increasing among shippers and freight forwarders in the US to moves by the Transpacific Stabilization Agreement (TSA) to secure the authority to manage container vessel capacity on behalf of its 14 ocean carrier members in the eastbound trade from Asia to the US west coast.

    The TSA is a US–based research and discussion association whose members between them ship over 80% of the total container volumes in the eastbound transpacific trade (a list of the TSA's members is provided below).

    Such 'discussion agreement' associations have no antitrust immunity with respect to liner shipping services in the trade lanes which they represent. Unlike conferences, discussion agreements currently do not have the power to set freight rates and other key elements of shipping services on behalf of their members in a particular trade lane. Conferences became illegal in the EU from mid–October 2008 and have not operated in the transpacific trade since 1999.

    The TSA requested, via an entry in the US Federal Register on December 29, 2008, that the Federal Maritime Commission (FMC), the shipping regulatory body in the US, provide it with the authority to manage capacity, a development which could have a major impact on freight rate movements. Furthermore, the TSA requested that authority be given to it 14 days from the Federal Register entry date, rather than the customary 45 days.

    Clearly, that allows substantially less time for consideration and comments from the shipping industry but vociferous objections have already been forthcoming within the last week or so. As reported yesterday 'US forwarders oppose TSA antitrust immunity request' (Ti Logistics Briefing, News, January 13), the National Customs Brokers & Forwarders Association of America (NCBFAA) has submitted comments to the FMC opposing the TSA's requested antitrust immunity.

    In the last few days, the NCBFAA has been joined in its objections to the TSA's request by another major organisation, the National Industrial Transportation League (NITL), which represents several hundred US–based shippers and forwarders. The NITL has formally asked the FMC to deny the TSA's request, arguing that with the TSA's members controlling a high percentage of eastbound transpacific tonnage, the TSA's proposal has the potential to distort the market for ocean shipping services in that trade lane, which could be harmful to shippers.

    Peter Gatti, NITL's Executive Vice President, explained to Transport Intelligence: "We realise that shipment volumes are down and carriers need to reduce costs by reducing vessel capacity. But we believe that such decisions should be made by individual shipping lines, not by the TSA.

    "Furthermore, the current economic downturn affects many industries which, unlike the shipping industry, do no benefit from antitrust immunity. We believe that such collective discussions between competitors concerning the supply of services is not an appropriate way to address the downturn and loss of revenue by ocean carriers."

    The TSA's 14 members are: APL, China Shipping, Cosco, CMA CGM, Hanjin, Evergreen Marine, Hyundai Merchant Marine, Hapag–Lloyd, NYK, K Line, Yang Ming, MSC, OOCL and Zim Integrated Shipping Services.