In the meantime, South Korean regulators said they were directing Hanjin Shipping vessels to unload cargoes in a few key ports, including in Singapore and Hamburg, Germany.
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The country’s Finance Minister Yoo Il-ho in a meeting this afternoon discussed the government’s role in minimizing losses in the maritime industry and economy as a whole caused by Hanjin’s demise. The US judge said that he will check Hanjin Shipping’s measures to protect its creditors through an additional trial.
However, the order is temporary and Hanjin will need to return to court on Friday for a final order after talks with stakeholders to try to resolve complex problems involving ports, terminal operators and retailers, Judge Sherwood said in a statement. He expects a ruling in Hanjing’s favor.
Hanjin Shipping’s collapse lead to chaos across the global supply chains, with ports around the world reportedly blocking access to more than half of the company’s ships due to concerns that they would not be able to pay fees, and some vessels being seized. The company’s assets were frozen-stranding ships-many of which have been unable to unload or take on cargo.
Dozens of massive container ships are stranded at sea, looking for a place to dock after one of the world’s largest shipping companies went bankrupt.
Gold said it was “too early to say” what the impact of the Hanjin crisis might be on retailers taking in large volume shipments for the upcoming holiday season.
Cargo handling operators refused to work for the shipping company because they were anxious that the cash-strapped firm could not make payment.
Hanjin isn’t alone in its financial struggles; most shipping companies have been affected by a glut of ship capacity and shrinking demand.
However, according to the Hardwood Federation, the combined $180 million may not be enough to assist with the unloading of stranded Hanjin ships.
Most of the container ships operated by Hanjin Shipping have reportedly stopped sailing at home and overseas.
According to the Wall Street Journal, a South Korean court will decide if Hanjin Shipping is dissolved or gets a chance to restructure.
As the business faces up to $5.5 billion in debt, its parent company Hanjin Group has chipped in $90 million in relief funds for the cargo costs.
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But even supposing that 100 billion won (US$91.4 million) is raised to cover the unloading fees at these key ports, transportation routes can not be opened up unless courts in various countries issue stay orders and negotiations with the countries in question about entering ports go smoothly.
