Glonghui, January 2 | Yamato published a report stating that the COSCO Maritime Control target price was lowered from HK$13 to HK$9.6, in line with the earlier reduction in the target price of Oriental Overseas and COSCO Shipping Ports, and 0.9 times the market account rate target for the company's container shipping business, etc., to maintain the “buy” rating. According to the bank, the Shanghai export container freight index has risen since the end of November last year. The recent Red Sea attacks led to supply chain disruptions and further increases in freight rates. The freight rate per TEU in the index rose to 1,497 and 2,054 US dollars as of the 22nd of last month, a new high last year. The bank believes that geopolitical tension will continue to have a significant and positive impact on short-term freight rates. Yamato also pointed out that shipping in the European market accounted for 22% of the company's revenue in the first half of last year, and European container terminal revenue accounted for an additional 2% of revenue during the same period. According to the bank's understanding, the company has no plans to resume the Red Sea route and continue to divert to Cape of Good Hope, and levy higher freight charges. The bank believes that the longer flight time caused by the diversion will help partially absorb the new shipping capacity.