About 10 Hanjin ships effectively seized at China ports, trade body says

About 10 vessels operated by Hanjin Shipping have been effectively seized at China ports by charterers, port authorities and others as of Wednesday, a South Korean trade association said on Thursday.

Some of the ships were not being allowed to leave Chinese ports, while others, which are currently at sea nearby, were expected to be seized, the association said.

Hanjin Shipping filed for court receivership on Wednesday after losing the support of its banks.

On Thursday, a judge said that a South Korean court will give the go ahead for commencing rehabilitation proceedings at Hanjin Shipping Co Ltd as early as this week,

The court’s decision will allow Hanjin Shipping to engage in legal action in jurisdictions outside South Korea to keep its ships and other assets from being seized, the Seoul Central District Court judge said.

“We’re not considering liquidation at all,” the judge said.

Meanwhile, Hyundai Merchant Marine Co Ltd will deploy 13 or more of its ships to Hanjin Shipping’s two exclusive routes before Sept. 7, South Korea’s top financial regulator said on Thursday.

Hyundai Merchant Marine will offer a “reasonable” shipping rate to ease the burden of increases in freight costs for South Korean firms, the Financial Services Commission said in a statement.

Hyundai Merchant Marine is currently in creditor-led debt restructuring but its banks may consider providing it with fresh funding, the regulator added.


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