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Minister Moon attends a meeting with the presidents of container shipping companies and promises “active support”
“Supporting innovative incentives for sunflowers for a win-win practice … improving unfair practices”
Minister of Maritime Affairs and Fisheries Moon Sung-hyuk said: “We must establish a win-win system to share the results of the reconstruction of shipments with export companies”, in relation to the situation where companies have difficulty in exporting due to the recent increase in shipping rates and lack of shipping space.
In the afternoon of that afternoon, Minister Moon made a statement in a regular meeting with the presidents of the container ships at the Haeun building in Yeongdeungpo-gu, Seoul.
Since the bankruptcy of Hanjin Shipping in 2017, the fleet of domestic shipping companies (the total amount of cargo loaded on a ship) has not recovered. Recently, in the United States, shipping rates are soaring due to the sharp increase in demand for products due to economic stimulus measures.
The meeting was actively organized by the Ministry of Maritime Affairs and Fisheries to solve the difficulties of exporting SMEs.
Minister Moon said: “The increase in freight volume and freight rates that began on the US route is showing a trend that is expanding to other markets such as Europe and Southeast Asia.” I think even if it is not. “
“However, contrary to these expectations, a more serious ordeal could come,” he said. “It is time for the shipping industry to gather wisdom not only for the interests of the industry but also for the Korean economy.”
Minister Moon stressed: “It is time to go one step further and find a new model of cooperation between domestic carriers in the intra-Asian market, which is struggling to compete with global shipping companies.”
“Now, the results of the shipments reconstruction are not limited to the shipping industry, but we need to establish a win-win system that can be shared with exporting companies.” We will support more innovative incentives “.
Hence, expanding the functions of Korea Ocean Promotion Corporation, we have prepared support programs that meet the needs of shipping companies such as credit guarantee and contract performance guarantee, and so that the shipping company can charter vessels to reasonable costs and focus on generating profits through transportation services. It also announced that it will promote construction-oriented shipowners’ business.
Minister Moon said: “Shippers are demanding that some foreign shipping companies unilaterally cancel their existing long-term contracts with shippers due to the recent increase in freight rates.” “We will create a supervisory system that establishes the order.”
According to the Ministry of Maritime Affairs and Fisheries, following the bankruptcy of Hanjin Shipping in 2017, after efforts such as the establishment of the “ Five-Year Ship Reconstruction Plan ” and the launch of the Korea Maritime Development Corporation, the volume of fleet (total cargo volume) of offshore container ships returned to 770,000 TEU.
Hanjin Shipping did not reach 1.05 million TEU before bankruptcy, but increased by 67.4% from 460,000 TEU immediately after bankruptcy.
The Ministry of Maritime Affairs and Fisheries expects the volume of the ship to reach 1.1 million TEU by 2022.
Thanks to this recovery, the Department of Maritime Affairs and Fisheries has announced plans to urgently put four HMM vessels on US routes starting in August and to put more than one more vessel each month until February next year.
/ news yunhap
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