Japanese Carrier Goes Under

 15 Jan 2016 10.47am

Japanese tonnage provider United Ocean Enterprises has filed for bankruptcy as a result of the crippling dry bulk freight market, with the company registering more than US$1 billion, according to IHS Fairplay.

United Ocean Enterprises began to struggle in November, 2015 after it was reported that, as a result of the falling Dry Bulk Index, securing new business was becoming much more challenging.

It was announced previously that the Dry Bulk Index had fallen to a record low of 429 points, but has recently fallen further to a new record low point of 383 points, according to gCaptain.

The Dry Bulk Index is showing that the industry is struggling with a slump in demand, with carriers desperately ordering more vessels and cutting capacity to keep afloat in a turbulent market.

Despite the difficult conditions, Drewry Maritime Advisors recently forecasted that any recovery in the dry bulk sector will not come to fruition until 2017.

For all the latest on the dry bulk sector, click here

  Cargo Volumes and Throughput, Carriers, Container Handling, Containers, Going Places, Port Planning, Ports