HMM's on-time performance rate showed the second largest improvement among major global shipping companies last year. Although HMM recorded one of the lowest on-time performance rates among global shipping companies, it raised its rate to the mid-level through improvements last year. The on-time performance rate is an indicator that refers to whether cargo arrives at its destination within 24 hours of the scheduled time, directly impacting the shipping company's reputation.

According to Denmark's shipping research firm Sea Intelligence, HMM's on-time performance rate for December last year recorded 50.4%. This marked an increase of 2.9 percentage points compared to the same period the previous year, making it the second highest, following the increase rate of 5.4 percentage points recorded by Israeli shipping company ZIM. The improvement in on-time performance is significantly influenced by route and fleet management, and HMM is analyzed to have enhanced its rate through route rationalization.

HMM container ship image. /Courtesy of HMM

The shipping industry perceives that differences in on-time performance rates may have emerged due to each company's responses to the prolonged Red Sea situation and environmental regulations. Since November 2023, the pro-Iran Yemeni Houthi rebels, who are in conflict with Israel, have attacked civilian vessels, leading to insecurity near the Suez Canal, and some shipping companies have been avoiding passage through the canal.

The restriction of vessel speeds due to environmental regulations is also identified as an obstacle to improving on-time performance. Doubling a ship's speed requires eight times the fuel consumption, leading to a corresponding increase in greenhouse gas emissions, making it difficult to indiscriminately increase on-time performance. A representative from the shipping industry noted, "Various factors influence on-time performance, but the fact that HMM has increased its rate suggests meticulous management of fleet deployment and schedules."