TAIPEI (TVBS News) — Global shipping leader Maersk's decision to slash its staff by ten thousand triggered a downturn in shipping stock on Monday (Nov. 6), bucking the market trend.
Within the opening ten minutes, Evergreen Marine (2603) saw a 4% drop to NT$107.5; both Yang Ming Marine Transport (2609) and Wan Hai Lines (2615) faced turbulence, falling more than 2%.
After Maersk announced its sweeping layoffs last Friday, the company's stock price plummeted over 18%, according to a report by CNBC.
In the face of an economic downturn, the shipping industry is confronting a slew of challenges, including sluggish demand for cargo, falling freight rates, rising energy costs driving inflation, and geopolitical tension, all part of a "new normal," according to Maersk CEO Vincent Clerc.