South Korean shipping company Hyundai Merchant Marine will deploy more than 13 vessels on Hanjin Shipping’s two routes to minimize the effects of the company’s filing for court receivership, according to Korean Financial Services Commission (FSC).
Namely, HMM will add Hanjin’s America and Europe loops to its sea routes in an effort to minimize disorder in cargo delivery and damage to shippers.
“HMM will maintain freight rates for the newly-established routes to an appropriate level to ensure shippers should not face excessive increase in freight rates,” FSC said.
The Seoul Central District Court will soon determine whether to accept Hanjin Shipping’s filing.
Since the possibility of Hanjin’s liquidation cannot be completely ruled out, the government will form a task force to support HMM to acquire Hanjin’s healthy assets.
The task force will sort out and review Hanjin’s profitable vessels, overseas sales network and key work forces, and devise detailed plan to sell the assets to HMM.
Hanjin Shipping fell victim to the prolonged depression in the shipping market as it decided to file for court receivership earlier this week.
The ocean carrier filed for court protection after losing support of its banks in South Korea. The company also asked the Seoul Central District Court to freeze its assets.