In a bid to prevent any major disruptions to the global supply chain, the owner of Hanjin Shipping – the Hanjin Group – is to provide US$90 million to the shipping line, according to Bloomberg.
Kim Tae Il, a Research Analyst at the Korea Maritime Institute in Busan, said: “The government is trying to extinguish the most immediate fire. So those toys held up in container boxes will be able find their way to consumers.”
Harald von Seydlitz-Kurzbach, Managing Director at Bremen, Germany-based Reck & Company, said: “Given the vast amount of cargo and value remaining on the vessels, Hanjin’s administrators will have to do all they can to get the ships into ports, as they have to avoid additional claims against Hanjin for delays and possible damages.”
Hanjin Shipping owes approximately more than $540 million in payments which relate to fuel costs and fees to ports for withholding cargo.
Simon Heaney, Consultant and Research Manager at Drewry Supply Chain Advisors said that the loan will only have short-term effects and help to resolve the immediate effects currently in the global supply chain. According to Mr Heaney, Hanjin can no longer operate as a functional shipping carrier.
PTI previously reported that, given recent news that Hanjin’s ships could be seized following the filing for court receivership, it has been actively trying to protect its ships globally.
With this comes the news that the shipping industry could also be at risk due to the fact that the Hanjin situation accentuates fears that carriers may not have the tools to survive in a rough climate.
