[Skoob]

Container shipping trouble continues. If you wonder why some new products seem to be taking their sweet time arriving, wonder no longer:

The Ghost Ships of Hanjin and Why They're Spoiling Christmas (Bloomberg, 8-Sept) <-- Nice video summary

Hanjin’s bankruptcy is just one of the world’s shipping woes (SF Chronicle, 7-Sept)

Hanjin Shipping's collapse likely to hit Christmas shoppers, postage (CNBC, 7-Sep)

Quote:

Toys are likely to be the product most impacted (affected).

Hanjin Unloads More Cargo, Easing Supply-Chain Fears (WSJ, 19-Sept)

Quote:

"Since Hanjin filed for bankruptcy in Korea in late August, dozens of its ships have been denied access to ports around the world due to uncertainty about who would pay docking fees and container-storage and unloading bills. Half a million containers with cargo valued at $14 billion have been stranded at sea at a time when retailers are stocking up for the Christmas season."

Stormy Seas Ahead For Shippers Following Hanjin’s Bankruptcy (Oilprice.com, 16-Sept)

Quote:

"The entire drybulk sector is largely a mess – Hanjin is simply the first domino to fall. Credit risk across most of the firms is high due to all of the refinancing work being done, and the uncertainty in the sector. Shipping requires long-term debt which is covered by relatively short-term leases – often a recipe for financial distress in times of market dislocation. If Hanjin is the first domino, it certainly won’t be the last. The industry is crucial to global trade and can’t be effectively financed without public equity, but like so many other capital intensive industries, capacity has gotten away from demand and ROIC has lagged for years now..."

Hanjin Chair Says Shipping Company Lost a ‘Game of Chicken’ With Competitors (Fortune, 4-Oct)

Quote:

Hanjin’s collapse led ports around the world to deny service to its ships as vendors refused to unload cargo for fear they would not be paid, while some ships were seized by creditors, forcing the group to inject extra money to pay for unloading, a process that is ongoing.

Several ships are sitting at anchor off the Port of Vancouver. Local charities like Salvation Army have been delivering food.

This situation seems likely to worsen, as debt continues to soar, capital is in retreat, international tensions grow, policymakers cling to ideology and serve political objectives, and economies suffer.