Hanjin Shipping bankruptcy causes turmoil in global sea freight
by The Guardian & Capro Staff
The bankruptcy of the Hanjin shipping line has thrown ports and retailers around the world into confusion, with giant container ships marooned and merchants worrying whether hundreds of tons of goods being carried by the South Korean company will reach shelves. About 10 Hanjin vessels in China have been either seized or were expected to seize by charterers, port authorities or other parties.
The Collapse comes at a time of high seasonal demand for the shipping industry ahead of the year-end holidays.
Hanjin represents nearly 8% of the trans-Pacific trade volume for the US market the bankruptcy was having "a ripple effect throughout the global supply chain" that could cause significant harm to both consumers and the US economy.
Other shipping lines were moving to take over some of the Hanjin traffic but at a price with vessels already are operating at high capacity because of the season.
The price of shipping a 40ft container from China to the US jumped up to 50% in a single day and it is predicted the higher prices would last a month or two.
We expect rates to continue going up, such as GRI & Peak Season surcharges.
We will keep you informed regarding all changes in the market and secure your cargo space on board the vessel as first priority.