Gulf conflict ties up tonnage, keeps idling low
March 26, 2026
Container shipping remains in a financial supercycle despite falling margins, according to industry analysts Alphaliner.
The average operating margin for the leading container carriers slumped to 5.3% in the final quarter of 2025, after several top-10 carriers reported operating losses for the period.
Shipping activities for Maersk’s Ocean Segment, Yang Ming and ONE fell into the red for the quarter, with the three lines posting operating deficits (EBIT) of -$153m, -$23m and -$84m respectively.
It was the sector’s first operating losses since Q4 2023/Q1 2024, and follows a steep slide in freight prices, with carriers posting their lowest average rates per teu in two years.
Adjacent to these results, takeover target ZIM managed to scrape into the black with a slim quarterly operating profit of $13m, equivalent to a margin of less than 1%. Meanwhile, French carrier CMA CGM posted a positive operating profit for its shipping activities but reported zero net profit for the group as a whole.
For the third consecutive quarter, Taiwan’s Wan Hai Lines posted the highest individual operating margin, generating a return of 18.9%, significantly ahead of the next candidate, HMM with 10.7%.
Wan Hai also topped the rankings for the year. Benefitting from its historical focus on the intra-Asia region, which enjoyed a major boost in 2025 due to US tariff policies, the Taipei-based line is also profiting from efficiencies from its young fleet, which now has an average age of 9 years.
Overall, Wan Hai’s annual revenue fell 13% but operating profits by only 34%, the lowest year-on-year decline among the major carriers. The company also credited pricing discipline and routing optimisation. HMM, COSCO Group and Evergreen followed, each with margins in the 9-10% range.
As yet unknown are results for Singapore-based PIL, which ultimately topped the market last year with a 2024 margin of 35.3%. Privately held PIL, currently ranked 12th in size globally, is obliged to report partial results later in the year under Singapore regulations.
Source: Alphaliner
