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.
Image of Hanjin vessel.
14 Dec 2016
Embattled Hanjin Shipping now faces the prospect of being delisted from the Korea Exchange in April, provided the Seoul court has not consigned the carrier to the scrapheap before then.
12 Dec 2016
There is little chance that Hanjin Shipping will be able to avoid liquidation, an auditor has found. “’
07 Dec 2016
SM Group, parent of Korea Line Corporation (KLC), has given up on buying Hanjin Shipping's 50% stake in the operator of a container terminal in Long Beach, clearing the path for a joint bid by the operator's other shareholder, Mediterranean Shipping Company (MSC), and Hyundai Merchant Marine (HMM).
Hanjin Group and Korean Air Lines chairman Cho Yang-ho
06 Dec 2016
Cho Yang-ho said he faced financial constraints and fading support from the liner operator’s lenders.

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.

More Commentary