As is reported earlier, China Shipping Development Company (CSDC) earned CNY979m ($144m) in the first half year. CSDC predicted that generally the market would experience fluctuation in the second half year. It was not optimistic and faced higher pressure. But it was believed that the recession had passed.

Chairman Li Shaode said in this year 1600 pts was the lowest point of BDI while 4200 pts was the highest level. Recently it was hanging around 2515 pts. A sustainable growth was expected in future. Li also hoped CSDC could sign long-term contract with VIP customers as early as possible, to reduce risks. CSDC prepared for the fluctuation in the second half year.

In addition, Li expressed China Shipping cooperate with compatriot China Petroleum and Chemical Corporation (Sinopec). Sinopec would offer oil to CSDC with locked-price. At present the annual supply volume was around 10,0000tons.

Regarding foreign exchange risks, Deputy Manager Wang Kangtian of CSDC pointed out that by the end of July CSDC's loan volume was CNY12bn and about 47% of them was USD loan. The remaining amount was CNY. Currently the USD amount occupied 37% of the company's revenue. So, the USD loan amount was expected to increase.

Wang introduced that 49 ships of 6.85m dwt were under construction, to be delivered by the end of 2012. Another 13 ships would be delivered in the second half year. The capital expenditure during 2010 to 2012 would hit CNY17.56bn, including newly-built ship delivery fees.