The Chinese CSCL ‘s profit has plunged due to the economic slowdown in China and a decrease in European Luxury imports. To increase the company’s profit, the CSCL is set to save costs by ordering 10 new ultra large container ships at a cost of US$1.5 billion. These ELCSs will each be capable of carrying up to 20,000 intermodal containers.
The company reported a decline in profits by 97% during the first half of 2015, caused by reduced freight rates. The company has made a profit of $1.7 million this year. In 2014, in keeping with the increasing demand, CSCL increased their capacity by 182,000 containers. They have now brought it up to 908579 TEUs.
CSCL is having these extra-large container ships built by Dalian Shipbuilding Industry Co, Shanghai Waigaoqiao Shipbuilding Co, and Hudong-Zhonghua Shipbuilding Group Co. The delivery is expected to happen by 2018 or 2019.
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