Wesports Handles 7.47 Million TEU’s, Domestic Volume Increased By 7%

Westports Holdings Berhad for the first nine months of this year handled a total volume of 7.47 million TEUs, despite the volume of containers passing through its docks, the port operator saw lesser profits being generated due to multiple factors.

During the period, the group faced multiple headwinds, some of which have shown signs of moderating intensity rates as global economies adjust to higher global energy prices, inflation, and interest rates but weaker non-Dollar currencies and economic momentum. Within the container shipping segment, spot freight rates adjusted downward rapidly to lower demand, and supply chain constraints eased despite continuing lockdown in China due to the zero- covid policy.

Westport found the challenging external economic conditions and container shipping companies’ operational adjustments consequently contributed to a reduction in the transshipment containers handled to 4.52 million TEUs. The domestic economy demonstrated relatively better resilience, and export-oriented sectors benefited from increased competitiveness with a weaker local currency. The overall gateway volume increased by 7% to 2.95 million TEUs, with much growth during the third quarter. In the conventional segment, the Company moved 8.87 million metric tonnes of cargo, with a notable increase in the break bulk.

Moving ahead, Westport’s recently completed Liquid Bulk Terminal 5 jetty can accommodate Very Large Gas Carriers. LBT5 facilitated the discharge and flow of Liquefied Petroleum Gas throughput into the recently built facilities, which would cater to regional customers’ requirements. To capture the future growth of non-bunker-fuel and liquid storage requirements, the group will commence the construction of the Liquid Bulk Terminal 4A in the last quarter of the year with completion to be by the end of 2023.

Commenting on the performance Managing Director Datuk Ruben said “The disruption in the supply chain has eased. However, inflationary pressure, zero-Covid policy in the Far East, energy prices plus economic challenges in Europe and disrupted global wealth effects due to correcting markets are contributing to slower economic activities across many regions. The container throughput momentum in the current year could moderate downwards toward a marginal single-digit decline. However, the local economy is currently relatively less adversely affected.

Therefore, Westports will continue to play our role as the leading gateway port for Malaysia and support her economic activities”.

Previous articleAirAsia X Now Flies Three Weekly Flights To Perth, Tickets From AUD209
Next articleU.S. Stocks Dip, Dollar Up As China Sticks To Pandemic Policy With Amazon Inc,, Alphabet, Meta Platforms Drifting Down

LEAVE A REPLY

Please enter your comment!
Please enter your name here