49057
S. Korean Firm’s Bankruptcy Causes Global Shipping Chaos
S. Korean Firm’s Bankruptcy Causes Global Shipping Chaos

S. Korean Firm’s Bankruptcy Causes Global Shipping Chaos

S. Korean Firm’s Bankruptcy Causes Global Shipping Chaos

The bankruptcy of the Hanjin shipping line has thrown ports and retailers around the world into confusion, with giant container ships marooned and merchants worrying whether tons of goods will reach their shelves.
The South Korean giant filed for bankruptcy protection on Wednesday and stopped accepting new cargo. With its assets being frozen, ships from China to Canada found themselves refused permission to offload or take aboard containers because there were no guarantees that tugboat pilots or stevedores would be paid, AP reported.
“Hanjin called us and said: ‘We’re going bankrupt and we can’t pay any bills, so don’t bother asking,’ “ said J. Kip Louttit, executive director of the Marine Exchange of Southern California, which provides traffic control for the ports of Los Angeles and Long Beach, the nation’s busiest port complex.
Three Hanjin container ships, ranging from about 700 feet to 1,100 feet (213 meters to 304 meters) long, were either drifting offshore or anchored away from terminals on Thursday.  A fourth vessel that was supposed to leave Long Beach on Thursday morning remained anchored inside the breakwater.
The Seoul-based company said Friday that one ship in Singapore had been seized by the ship’s owner. Hanjin Shipping spokesman Park Min did not confirm any other seizures.
As of Friday, 27 ships had been refused entry to ports or terminals, she said.
That left cargo headed to and from Asia in limbo, much to the distress of merchants looking to stock shelves with fall fashions or Christmas toys. “Someone from the garment industry called earlier today asking: ‘How long is this going to go on, because I’ve got clothing out there,’” Louttit said.
The Korea International Trade Association said about 10 Hanjin vessels in China were seized or likely to be seized by charterers, port authorities or other parties.

 

Short URL : http://goo.gl/xhgPel
  1. http://goo.gl/b1E3Wp
  • http://goo.gl/78Xhn8
  • http://goo.gl/Uxuosw
  • http://goo.gl/Vll8fm
  • http://goo.gl/lGoqrv

You can also read ...

China Warned of Ballooning SOEs
Former chief of the World Bank Robert Zoellick cautioned China...
Business confidence fell to its lowest level since August 2013 and around 7% of companies expected a contraction.
According to data from the International Monetary Fund in...
Shrinking unemployment in the US, Japan and the eurozone finally forces companies  to lift wages to retain and attract staff.
Workers in the world's richest countries are getting their...
New Zealand Q2 GDP Growth Picking Up
New Zealand’s economic growth is expected to have accelerated...
Saudi Sovereign Fund Secures $11 Billion Loan
Saudi Arabia's sovereign wealth fund said Monday it had...
Lira Eases Against Dollar
Turkey’s lira weakened against the dollar on Monday as...
By 2025 more than half of all current workplace tasks  will be performed by machines.
Robots will handle 52% of current work tasks by 2025, almost...
Myanmar Businesses Want Lower Taxes
Myanmar businesses are urging the government to lower the...

Trending

Googleplus