Supply Chain Research

Container-line Orient Overseas reported a 24% jump in second quarter revenues on a year earlier, reaching the highest since 3Q 2013. Average handling increased 8%, driven by a 26% surge in trans-Pacific volumes. The volume growth came at the expense of average rates. These fell 4% on trans-Pacific routes, compared to a 7% rise in China-west coast U.S. market rates. That may raise concerns about whether the company has sacrificed profits for market share. The rapid volume growth may also cast a cloud over the bid by COSCO Shipping for Orient Overseas if it leads to a trade lane market sha...