Shenzhen: Manufacturing is shifting back from China to the US, changing container trading patterns, said Bronson Hsieh, vice chairman of Taiwan’s Evergreen Group.
Rising wages and land prices along with appreciation of the renminbi have hit China’s competitiveness, Hsieh said. The Evergreen executive was the keynote speaker this morning at this year’s TPM Asia conference organized by the JOC Group in Shenzhen.
Potentially with US exports set to grow, carriers will spend less of container repositioning in the future, Hsieh reckoned.
On the markets, Hsieh said 2014 should be better than 2013, but supply/demand issues in container shipping were unlikely to find balance until 2015, unless, of course, carriers ordered more ships.
From 2004 to 2009 Evergreen did not order any ships. In 2014, Evergreen will take on 18 new ships, but will off hire 10 long term ships.
“We will not rule out any possibility to join any alliance,” said in the Q&A session following his speech. [16/10/13]