Freight markets volatile, though cost has fallen – MCS

Thursday 13th October 2016 | 0 Comments

 
The volatility of shipping markets is demonstrated by this chart
The volatility of shipping markets is demonstrated by this chart
As August came to its close, the world's seventh largest - and South Korea's biggest - container shipping line, Hanjin Shipping, filed for court receivership, consumed by mounting debt schedules with creditors and increasing industry overcapacity. Hanjin had suffered annual net losses from 2011-2014 - with total debt in June reaching a staggering $5.5billion. While there may be hope on the horizon, (Hyundai Merchant Marine are in talks to acquire Hanjin's vessels and staff), for the time being, ports in China and the US have denied entry to Hanjin ships and goods cannot be unloaded. Discussions between banks and Hanjin are yet to proffer a solution, though it seems likely that its Asia-United States route and related sales and marketing assets could be on sale by the end of the week in order to raise rehabilitation funds, several news sources have reported.

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Category: Company News, UK News