Cosco boss warns against irrational expansion

Guangzhou: Cosco boss Wei Jiafu has warned the shipping industry against irrational expansion. Speaking at the World Shipping (China) Summit in Guangzhou Cosco president and ceo Wei noted that the WTO forecast world trade growth would hit 13.5% this year, the highest year-on-year figure since 1950. However, the shipping industry is also facing a massive oversupply of newbuildings. "Therefore we should pursue a rational growth model, restricting irrational fleet growth and staying the right course," Wei said. "This is our only choice to sustain growth in a highly volatile market." [09/11/10]