BUSAN, Nov. 30 (Korea Bizwire) – Foreign shippers have increased their market shares in major global shipping routes following the bankruptcy of Hanjin Shipping Co., defying expectations that its Korean peer Hyundai Merchant Marine Co. would secure a chunk of Hanjin’s share, data showed Wednesday.
Hanjin accounted for 7.78 percent of the Asia-U.S. shipping route in October last year, but its share plunged to 1.1 percent in October this year, according to the data by the Busan Port Authority.
The data showed the vacuum created from Hanjin’s trouble has been largely filled by 2M, the world’s largest shipping alliance that is led by industry leader Maersk of Denmark, and China’s COSCO.
2M’s share of the Asia-U.S. route rose 3.5 percentage points to 17.5 percent in October this year.
COSCO increased its share of the Asia-U.S. route by 4.8 percentage points to 11.09 percent in October this year.
Japanese and Taiwanese shippers also saw their shares of the route inch up.
Taiwan’s Evergreen Marine increased its share of the Asia-U.S. route by 1.4 percentage points and Japan’s K-Line increased by 0.7 percentage point, according to the data.
In contrast, Hyundai Merchant’s share of the route rose by 0.02 percentage point to 5.22 percent in October this year.
Hanjin Shipping, currently under court receivership, has been seeking to sell its assets in an effort to survive an industry-wide slump and cash shortage. Hanjin Shipping and local shippers have been under financial strain due to falling freight rates stemming from an oversupply of ships and a protracted slump in the global economy.