Hard road ahead for Hanjin

2016 has been a year of struggle for Hanjin Shipping. The South Korean liner operator applied for court protection on 31 August after losing the support of local banks that were dissatisfied with its liquidity plan. With more than USD5 billion of debt, the liner operator's receivership has had widespread ramifications - for its shippers, tonnage providers and container carrier rivals. Keep track of the latest developments with Fairplay's dedicated Hanjin topic page.

News & Analysis

HMM CEO Yoo Chang-keun (left) and DSME CEO Jung Sung-leep (right)
24 Aug 2018
HMM is on track to receive financial aid from KDB and KOBC for newbuildings, but local media reports say the handout may fall short.
The South Korean government has pledged support for Busan port
01 Sep 2016
South Korea’s Ministry of Oceans and Fisheries has convened an emergency response team to mitigate the fallout of Hanjin Shipping’s receivership application on the country’s shipping and logistics sectors.
Hanjin Shipping
30 Aug 2016
Trading in Hanjin Shipping shares suspended as stock exchange calls for clarification on media reports that it has lost the support of South Korean banks.
29 Aug 2016
Hanjin Shipping has made “significant progress” in its negotiations with tonnage providers and creditors.

Commentary

Concerns about Hanjin Shipping were flagged up long before the South Korean line filed for bankruptcy. The reason why BCOs were wrong-footed and why it took so long for Hanjin Shipping to collapse lies in its 4,000 creditors, a number that shows just how interwoven the threads of the shipping industry have become.

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