HONG Kong-headquartered Orient Overseas International Holdings has reported a strong first half for 2025, driven by significant gains for OOCL, and says the Group financial position remains one of the most robust in the industry.
1H Group revenue reached USD 4,876 million (1H 2024 4,646 million); Group EBIT was USD 985 million (840.5 million) and Group EBITDA was USD 1,466 million (1.278 million).
The Container Transport and Logistics business reported EBIT of USD 977 million (878 million) representing an EBIT margin of approximately 20.1%. Liner liftings grew to 3.9 million TEU in 1H 2025, from 3.67 million TEU in 1H 2024. OOCL ordered fourteen 18,500 TEU class methanol dual-fuel container vessels which are expected to be delivered between 2028 and 2029
“Geopolitical uncertainties still significantly influence the shipping market,” the report said. “If the situation in the Red Sea was a defining factor which contributed to the strong performance of the container shipping market in 2024, then the ongoing changes in tariff policies and trade disputes have undoubtedly played a decisive role in shaping market trends in the first half of 2025.
“Both the International Monetary Fund and the Organisation for Economic Co-operation and Development have lowered their forecasts for global economic growth in 2025 in the first half of this year, to 2.8% and 2.9% respectively.
“Then, at the end of July IMF raised its global growth forecast for 2025 to 3%, but the figure is still below the level it predicted at the beginning of the year and the one in 2023 and 2024. Frequent shifts in tariff policies have disrupted long-term planning, raised concerns among customers, and eroded both business and consumer confidence.
“This is especially evident on Trans-Pacific services, where freight rates have generally declined compared to the beginning of the year. While the 90-day tariff suspension between China and the U.S. led to a rapid recovery in freight rates from early-May lows, the rebound proved temporarily, with rates subsequently falling once more. Rapid capacity influx and the arrival of new competitors have significantly expanded overall capacity, while ongoing policy uncertainties have fuelled market concerns.
“As a result, many customers seem to have started to shift away from their precautious strategy of front-loading earlier this year to a more cautious, wait-and-see approach at present.”
Despite the overall challenges facing the market, liftings in other trades have held up relatively well during this round of tariff changes, OOIL said. This resilience may be attributed to supply chain restructuring, varying economic conditions across regions, seasonalities, or port congestion. Additionally, the full impact of factors affecting Trans-Pacific routes may not yet have materialised. Regardless of the cause, the varied performance across different markets enables carriers to seize opportunities.
OOCL's total liftings for the first half of 2025 increased by 7% and total liner revenues increased by 4% year on year. Despite being only a single digit improvement, the year-on-year performance is the best post-pandemic period in terms of both liftings and liner revenue.
“We continue to strengthen our synergy with COSCO SHIPPING Lines in areas such as cost optimisation and risk diversification. This not only helps OOCL enhance its operational efficiency and market competitiveness, but also supports its global network deployment,” the Group said.
“At the time of writing this report, our vessels sailing on major long-haul routes are nearly fully loaded, and this is expected to continue in the coming weeks.
“The trends in the first half of the year remind us that the shipping industry is highly dynamic and anything is possible. Ongoing policy uncertainties, developments in the Red Sea, continued delivery of new vessels, changes in the global economy, and gradually tightening of environmental regulations could all have profound impacts on overall market development. The additional port charges levied by the U.S. on Chinese carriers will have a relatively large impact on the Group.
“On the other hand, as global trade patterns shift to becoming more regional, market divergence may occur, or there may be delayed or deferred responses due to extended or restructured supply chains, all of which may be potentially creating opportunities for shipping companies to refine their strategies in segmented markets.”