Grindrod Shipping reports higher loss amid trade tension
Grindrod says results were partly affected by time and money spent on ‘positioning our vessels and changes in trade routes for a variety of reasons’
Grindrod Shipping, which is based in Singapore and listed in the US and Johannesburg, says losses grew in the six months to end-June amid the trade war between the US and China.
The group said its results were partly affected by time and money spent on “positioning our vessels and changes in trade routes for a variety of reasons — including as a result of additional trade tariffs imposed by China and the US”.
Hopes for a resolution to the trade spat between the world’s two biggest economies were dashed over the weekend as tension mounted, though authorities from both countries have since sought to reassure the market that a deal is still possible. The trade war is said to be weighing on global trade and the world economic outlook.
Grindrod Shipping said on Thursday first-half revenue rose 10.9% to $167.2m (R2.6bn). But the company’s net loss rose to $19m from $13.5m a year before.
The loss included a $4.3m impairment loss on vessel sales.
Grindrod Shipping listed on the JSE in mid-2018.