After the South Korean shipping giant Hanjin Shipping, a member of the CKYHE Alliance, decided to file for court receivership, the remaining four members of the alliance have decided to cut all ties with the company.
Namely, Shanghai-based shipping company Cosco Container Lines, Japan’s Kawasaki Kisen Kaisha, Taiwanese Yang Ming and Evergreen Line said that their cargo will not be loaded onto vessels operated by Hanjin Shipping, and added that Hanjin’s cargo will not be allowed to load on the vessels operated by the remaining four members of the alliance.
Furthermore, with respect to cargo already booked on vessels operated by Hanjin Shipping, Coscon said that the company would arrange “smooth transfer to other service or lines operated by Coscon or other alliance members.”
Due to the prolonged depression in the shipping market, the financially troubled Hanjin Shipping decided to file for court receivership earlier this week.
Following the company’s move, Korean Financial Services Commission (FSC) said that the government “will promote sales of Hanjin Shipping’s core assets to Hyundai Merchant Marine in a bid to maintain competitiveness of the shipping industry.”
Namely, Hanjin’s compatriot shipping line Hyundai Merchant Marine (HMM) will acquire the company’s core assets such as ships, overseas sales network and key work forces to retain Hanjin Shipping’s competitiveness as much as possible.
Additionally, FSC said that HMM will deploy more than 13 vessels on Hanjin Shipping’s two America and Europe routes to minimize the effects of the company’s filing for court receivership.
Based on the Alphaliner carriers league, Hanjin is currently the world’s seventh largest container line. It operates a fleet of 98 cellular ships with a total capacity of 609,500 TEU. The company also operates some 44 bulk carriers and tankers, as well as 11 dedicated container terminals around the world.
World Maritime News Staff