Freight-rate competition with China and South Korea and an insufficient stable customer base
First written in FY2018. 3 of 6 entries say "Worsened", first in FY2020-Q2. Latest entry: FY2027-H1.
No other company in this theme has enough history to compare yet.
- FY2027-H1MaterialisedAnnual report
「Steel products struggled, with shipments to Taiwan affected by deteriorating steel market conditions and shipments to South Korea affected by intensifying price competition with overseas shipping companies.」
Worsening market conditions for Taiwan-bound shipments and price competition with overseas shipping companies on shipments to South Korea resulted in sluggish handling of steel products. - FY2026-H1WorsenedAnnual report
「Meanwhile, handling of construction machinery bound for Central Asia via China, including Mongolia and Kazakhstan, struggled to grow relative to the target set at the beginning of the period.」
The sluggish growth in construction-machinery transport to Central Asia against the target set at the beginning of the period became evident in actual results, leaving challenges in establishing an order base. - FY2025WorsenedAnnual report
「Competition for orders against RORO vessels has intensified in construction-machinery transport to China and Central Asia, making the development of orders for cargo other than construction machinery a challenge.」
Competition with RORO vessels intensified in construction-machinery transport to Central Asia, highlighting declines in the handling of core cargo and a weak order base. - FY2020-Q3MaterialisedAnnual report
「However, the Philippines route faced numerous challenges, including price competition with other industry participants and securing return cargo, and did not contribute to profit.」
Price competition with other companies on the Philippines route and difficulties securing return cargo actually materialized, leaving the business unable to contribute to profit. - FY2020-Q2WorsenedAnnual report
「Reflecting difficult market conditions in coastal shipping, the business environment has begun to deteriorate.」
The company states that difficult coastal-shipping market conditions have begun to affect the business environment for ocean shipping, deepening the existing risks of freight-rate competition and an insufficient stable customer base. - FY2018First statedAnnual report
「As a group operating primarily in the coastal shipping market, we face excessive freight-rate competition with China and South Korea. The absence of regular routes and specific COA contracts, and the lack of a stable sales base, are weaknesses.」
The company identifies freight-rate competition with China and South Korea, the absence of regular services and specific COA contracts, and an insufficient stable customer base as structural risks in its ocean-shipping business.