This Domain is for Sale. To make an offer please get contact.
Make an Offer
  • Home
  • News
  • Technology
  • Law & Regulations
  • Informative
  • Tug&Barge&Salvage
Maritime and Salvage Wolrd News - Latest Ship Technologies
No Result
View All Result
No Result
View All Result
Maritime and Salvage Wolrd News - Latest Ship Technologies
No Result
View All Result

South Korea’s Hanjin Shipping Becomes Symbol of Industry in Trouble

marinesalvage by marinesalvage
September 29, 2023
in News
0
Hanjin Containership In Port
Hanjin Containership In Port

South Korea’s Hanjin Shipping Becomes Symbol of Industry in Trouble

By Kyunghee Park and also Christian Wienberg

(Bloomberg)–Hanjin Shipping Co is barely a bellwether on the planet of container moving companies. As lending institutions stop all sustain today, the South Korean firm is currently becoming a sign of the depression that has actually tormented the market given that the international economic situation.

Creditors led by Korea Development Bank will certainly finish their support of South Korea’s biggest container-shipping firm, which might still require as high as 1.3 trillion won ($ 1.2 billion) in money to surrender financial obligation after losses in 4 of the last 5 years. Hanjin Shipping’s board is readied to satisfy Wednesday to determine whether to get court receivership, the firm claimed late Tuesday.

Hanjin’s concerns reveal the container-shipping market is still in negative health and wellness, hopping from one quandary to an additional given that the 2008 situation brought trading to its knees. Helped by inexpensive finances, container lines have actually held on also as products prices to relocate tennis shoes to Barbie dolls from Asia to Europe and also united state dove. From A.P. Moeller-Maersk A/S to Hapag-Lloyd AG and also France’s CMA CGM SA, firms have actually attempted all– mergings, purchases and also price cuts– while need rebirth continues to be evasive.

Heavy Losses

“We have been seeing some reorganization in the container industry and hopefully it can lead to fewer container lines with healthier balance sheets,” claimed Espen L. Fjermestad, an expert at Fearnley Securities AS in Oslo, Norway.”It can be healthy and balanced for the market as a great deal of firms have actually been promoted with outdoors cash for a long period of time to still exist regardless of hefty losses.”

Headed for an additional year of losses, Hanjin Shipping has actually been attempting to reschedule financial obligation under a volunteer program led by financial institutions given that May while competitorHyundai Merchant Marine Co has actually been taken control of by the financial institutions after conference problems, consisting of changes in charter prices on vessels it rented from shipowners.

Hanjin Shipping claimed Monday that it can produce 1.27 trillion won in extra liquidity for the firm. That consisted of prolonging maturations of some financial obligation with international lending institutions and also charter price changes with shipowners on vessels. It’s most significant investor, Korean Air Lines Co., additionally prepared to supply 400 billion won to the delivery firm.

Insufficient Plan

“Creditors found it difficult to accept Hanjin Shipping’s plan,” Korea Development Bank claimed. “The plan was insufficient and it’s uncertain whether the company could turn around.”

Hanjin Group– the moms and dad with organizations from airline companies to delivering to mineral water– claimed it will certainly place in all initiatives to restore the market also if Hanjin Shipping were to get court receivership.

Hanjin Shipping is the globe’s seventh-biggest delivery line by ability and also has a market share of 2.9 percent, according to Alphaliner, a maritime specialist.

Shares of the firm dove 24 percent to 1,240 won on Tuesday, the most affordable closing rate given that December 2009, prior to trading was stopped inSeoul Hyundai Merchant rose 7.5 percent, the most significant gain in greater than 2 months.

Mergers, Job Cuts

The international delivery market has actually been running muddle-headed given that completion of 2015, and also it’s readied to shed regarding $5 billion this year as freight prices drop amidst a surplus of vessels, accordingDrewry Maritime Research That has actually motivated firms to settle, reduce tasks and also offer properties.

CMA CGM, the globe’s third-biggest container delivery firm, purchased Singapore’sNeptune Orient Lines Ltd for S$ 3.38 billion ($ 2.5 billion) this year in the market’s most significant procurement given that 2005. Hapag-Lloyd and alsoUnited Arab Shipping Co claimed in June they accepted combine to end up being the fifth-largest container delivery firm. That follows the German firm accepted get the container organization from Chilean competitorCia Sud Americana de Vapores SA in 2014.

China in 2015 combined China Ocean Shipping Group and also China Shipping Group to createChina Cosco Shipping Corp as component of the federal government’s initiatives to diminish markets pestered by overcapacity while producing around the world affordable organizations.

About Survival

Shipping isn’t the only market that’s battling. Shipbuilding and also the oil and also gas markets are additionally in the middle of restructuring after a downturn in oil costs over the last 2 years created power tasks to be postponed and also reduced delivery need.

The regular China Containerized Freight Index, which tracks freight prices on significant delivery lanes, was up to the most affordable degree in April this year given that the information was initial embeded in November 2010, according to the the Shanghai Shipping Exchange.

“The M&As and restructuring we’re seeing right now is more about survival,” claimed Rahul Kapoor, a Singapore- based supervisor atDrewry Maritime Services Pvt “They don’t lead to pricing power coming back. The number of ships is still the same. Pricing power comes with demand.”

© 2016 Bloomberg L.P

Source of This New

Tags: container shippinghanjin
Previous Post

ABS, GTT as well as DHT Developing LNG-fueled VLCC Design

Next Post

First United States Gulf Offshore Wind Auction to Fuel Green Hydrogen Push

Related Posts

Hunt for Black Boxes Still On After AirAsia Plane’s Tail Located
News

Hunt for Black Boxes Still On After AirAsia Plane’s Tail Located

July 13, 2024
capesize bulk carrier terminal iron ore dry bulk
News

Capesize Rates at Six-Year Lows, Could Slide Further

July 13, 2024
jennifer turecamo moran tug chesapeake bay winter
News

Cold Morning on the Chesapeake

July 13, 2024
Video: Aboard the Mighty CSCL Globe in Felixstowe – ShippingTV
News

Video: Aboard the Mighty CSCL Globe in Felixstowe – ShippingTV

July 13, 2024
Eco Marine Power and Nakashima Propeller Cooperate on Composites
News

Eco Marine Power and Nakashima Propeller Cooperate on Composites

July 12, 2024
odfjell
News

Odfjell Announces Layoffs, Reduction of European Officers

July 12, 2024
Next Post
First US Gulf Offshore Wind Auction to Fuel Green Hydrogen Push

First United States Gulf Offshore Wind Auction to Fuel Green Hydrogen Push

Quick Search

No Result
View All Result

Recent Posts

  • Hunt for Black Boxes Still On After AirAsia Plane’s Tail Located July 13, 2024
  • Capesize Rates at Six-Year Lows, Could Slide Further July 13, 2024
  • Cold Morning on the Chesapeake July 13, 2024
  • Video: Aboard the Mighty CSCL Globe in Felixstowe – ShippingTV July 13, 2024
  • Eco Marine Power and Nakashima Propeller Cooperate on Composites July 12, 2024

Categories

  • Informative
  • Law & Regulations
  • News
  • Technology
  • Tug&Barge&Salvage
Hunt for Black Boxes Still On After AirAsia Plane’s Tail Located
News

Hunt for Black Boxes Still On After AirAsia Plane’s Tail Located

by marinesalvage
July 13, 2024
0

Hunt for Black Boxes Still On After AirAsia Plane’s Tail Located By Fathiya Dahrul and Rieka Rahadiana (Bloomberg) — Divers...

Read more
capesize bulk carrier terminal iron ore dry bulk

Capesize Rates at Six-Year Lows, Could Slide Further

July 13, 2024
jennifer turecamo moran tug chesapeake bay winter

Cold Morning on the Chesapeake

July 13, 2024
Video: Aboard the Mighty CSCL Globe in Felixstowe – ShippingTV

Video: Aboard the Mighty CSCL Globe in Felixstowe – ShippingTV

July 13, 2024
Eco Marine Power and Nakashima Propeller Cooperate on Composites

Eco Marine Power and Nakashima Propeller Cooperate on Composites

July 12, 2024
Maritime and Salvage Wolrd News - Latest Ship Technologies

© 2023 - Marine-Salvage.net

Navigate Site

  • Home Page
  • Privacy Policy
  • Contact Us
  • About Us

Follow Us

No Result
View All Result
  • Home
  • News
  • Technology
  • Law & Regulations
  • Informative
  • Tug&Barge&Salvage

© 2023 - Marine-Salvage.net

Manage Cookie Consent
We use cookies to optimize our website and our service.
Functional Always active
The technical storage or access is strictly necessary for the legitimate purpose of enabling the use of a specific service explicitly requested by the subscriber or user, or for the sole purpose of carrying out the transmission of a communication over an electronic communications network.
Preferences
The technical storage or access is necessary for the legitimate purpose of storing preferences that are not requested by the subscriber or user.
Statistics
The technical storage or access that is used exclusively for statistical purposes. The technical storage or access that is used exclusively for anonymous statistical purposes. Without a subpoena, voluntary compliance on the part of your Internet Service Provider, or additional records from a third party, information stored or retrieved for this purpose alone cannot usually be used to identify you.
Marketing
The technical storage or access is required to create user profiles to send advertising, or to track the user on a website or across several websites for similar marketing purposes.
Manage options Manage services Manage vendors Read more about these purposes
View preferences
{title} {title} {title}