Chinese container maker CIMC reports profit increase

China International Marine Containers (Group) Co., Ltd. reported total profit of 3.5 billion RMB ($456 million) in 2007, a 9 percent increase over 2006.

Revenue in 2007 was 48.8 billion RMB ($6.95 billion) a 45 percent increase over 2006.

The company said it turned out 2.1 million TEU containers, excluding pallet containers. Of these, nearly 1.87 million were standard dry cargo containers, up 37 percent from 2006. Output of standard reefer containers in the year hit 73,600, up 39 percent.

Affiliates of COSCO Group own about 17.5 percent of CIMC's stock.

The company said there was uncertainty in the outlook for 2008 because of the weakening U.S. economy.

estbound cargoes from Asia and Europe will continue to surpass that of pan-Pacific, the company said in its annual report. After the global economic adjustment, between 2008 and 2009, the world containerized trade volume increase will be around 11 percent, it said, citing a forecast by London-based Drewry Shipping Consultants.

CIMC suggested that with consummation of inland transportation infrastructures, the containerization rate will be further increased and inland container transportation will enjoy a large increase. CIMC said it is intensifying efforts to create new applications for containers, including House-type container, equipment container, oilfield container, military container and special reefer container. The company said it has become the world's largest container flooring supplier and has intensified research in bamboo flooring and bamboo/wood composite flooring. Many container floors are made of tropical hardwoods and some conservationists think fast-growing bamboo could be an environmentally friendly alternative. 

Source: American Shipper