Core Viewpoint - Goldman Sachs maintains a cautiously optimistic outlook on the long-term freight performance of China COSCO Shipping Holdings Co., Ltd. (中远海控), citing the need to retire over 25% of existing cargo ships aged over 20 years between 2028 and 2030, alongside strong growth in freight volumes, particularly on Southeast Asia, Europe, and Africa routes [1] Group 1: Financial Performance - The net profit forecast for 2025 to 2027 has been raised by 25% to 46%, reflecting better-than-expected earnings in the third quarter and the delayed collection of port fees between China and the U.S. [1] - The target price for H-shares has been increased from HKD 11.5 to HKD 12.5, while the target price for A-shares has been raised from RMB 14.7 to RMB 16, maintaining a "neutral" rating [1] Group 2: Market Trends - Management noted a rebound in spot freight rates in October, driven primarily by Black Friday and the anticipated U.S. tariffs on Chinese goods, which led to early shipments [1] - The strong performance in the third quarter is attributed to excellent freight rates, particularly due to the high proportion of intra-Asia routes and better cost control compared to peers [1]

Core Insights - The transportation industry has effectively supported employment stability, business stability, market stability, and expectation stability in the first half of the year, with overall economic operations remaining stable and showing progress [1] Group 1: Freight Volume - The total operating freight volume reached 28.03 billion tons, reflecting a year-on-year growth of 3.9% [1] - By mode of transport, the freight volume increased by 1.8% for rail, 4.0% for road, 4.3% for waterway, and 14.6% for civil aviation [1] - The ocean freight volume completed by Chinese shipping companies grew by 9.4% year-on-year [1] Group 2: Express Delivery - The express delivery business volume reached 95.6 billion pieces, marking a year-on-year increase of 19.3% [1] Group 3: Port Operations - Port cargo throughput maintained growth, totaling 8.9 billion tons, with a year-on-year increase of 4.0% [1] - Domestic and foreign trade throughput increased by 5.0% and 1.8% respectively [1] - Container throughput reached 17 million TEUs, reflecting a year-on-year growth of 6.9%, with domestic and foreign trade throughput increasing by 4.0% and 8.9% respectively [1]