Financial Services Commission chief rules out aid for Hanjin Shipping

South Korea’s top financial regulator, head of the Financial Services Commission Yim Jong-yong, has reiterated the government’s view that the country’s troubled container line should stand on its own or go into administration. The crisis currently affecting shipping is not just affecting the container lines, but also the country’s shipbuilding trio – DSME, Hyundai Heavy Industries and Samsung Heavy Industries – as orders for new vessels dry up. Meanwhile, Hanjin Shipping remains in discussions with around 34 ship finance providers over vessel mortgages as well as ship owners over possible reductions on its daily charter hire rates. Local reports have suggested it could see a cash shortfall of as much as $1.1bn in the next year and a half.