“There’s a lot of export containers that are sitting around California that ideally would go onto a Hanjin vessel to world markets, and they’re not moving”, he said.
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The Loadstar also understands this morning that some tug companies are refusing to provide towage facilities without similar guarantees.
The failure of South Korean worldwide containerline Hanjin is having an effect in Australia, as it is elsewhere in the world. The remaining shippers can raise their prices without losing business. Since vessels already are operating at high capacity, shippers may wind up paying a premium to squeeze their cargo containers on board, said Jock O’Connell, global trade adviser to Los Angeles-based Beacon Economics.
What’s happening to it is what’s happening just about everywhere: Port terminals are not allowing Hanjin ships to unload.
“In some instances, forwarders will have paid hire to Hanjin in advance, and forwarders will now be concerned about recovery of these sums”.
The Korea International Trade Association has said that about ten Hanjin vessels in China have been either seized or were expected to be seized by charterers, port authorities or other parties. “One lesson for shippers is to maintain multiple carrier options and to spread shipments across multiple carriers to avoid being stuck in such situations”.
The country’s maritime ministry said earlier that it will work to help smooth out flows in the cargo trade for local exporters and importers by putting in substitutes for Hanjin’s vessels that may be seized.
Indeed, one major United Kingdom high street retailer told The Loadstar yesterday, “this could not have happened at a worse time” given that it is the peak season and numerous goods in transit are destined for the Christmas market.
On Wednesday, Hanjin Shipping, South Korea’s largest and the world’s seventh-largest shipping company, filed for court protection after its creditors, led by the state-run Korea Development Bank, rejected its self-rescue scheme.
It said 540,000 TEU of cargo already loaded on Hanjin vessels would face delays.
Harris said even companies that don’t have goods aboard Hanjin vessels are being effected.
A Hyundai Merchant Marine spokesman told Reuters nothing had been decided about the potential acquisition of Hanjin assets and that the firm will hold talks with KDB.
And now that HMM has completed its restructuring it is being touted as a possible buyer for Hanjin’s assets.
Major Hanjin customers, like Samsung Electronics, said they were striving to minimize the impact on their own businesses.
Only empty Hanjin containers are being accepted at the port’s Pinners Point Container Yard.
However, most of the boxes were not owned and eventually the leasing companies succeeded in overturning the liens to retrieve their equipment.
As a result, cargo owners are wondering about the fate of their shipments that could be caught in limbo for weeks or months.
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“Efforts are already likely to be underway by those wishing to recover possession of their containers in order to facilitate their re-hire to alternative carriers”. The Alliance also includes Hanjin.
