H/t reader squodgy:
Remember all those mainstream pundits and the lie-mongers at Forbes that claimed the collapse of the Baltic Dry Index was due to an “oversupply of ships” and not falling global demand? Well, they seem to have disappeared recently as shipping agencies like Maersk Lines have openly admitted that falling demand around the world for raw materials and oil have resulted in dismal shipping rates. The latest nail in the coffin of the mainstream fantasy has been the implosion of Hanjin Shipping, a massive shipping conglomerate that is now essentially bankrupt, and this has been due to FALLING DEMAND in a dwindling marketplace, not too many cargo ships active on the seas. It might take longer than expected, but almost every single argument made by the alternative financial media over the years is being proven correct…
Hanjin Shipping Co., South Korea’s largest container line that has put its Asia-U.S. business on sale after filing for bankruptcy protection late August, won approval from a court to wind down its European operations as demand for its services to the continent slumped.
The judge overseeing Hanjin’s receivership at the Seoul Central District Court approved the firm’s request, a court spokesman said. Hanjin will close all its 10 branches in Europe, including its regional headquarters in Germany, the container line’s spokeswoman said separately on Monday. The Seoul-based company expects to start the process as early as this week, she said.
The decision to shut down its Europe business is part of the breakup process of Hanjin kicked off by the Seoul court, which earlier said it would consider selling the company entirely. Hanjin is also seeking separate bids for its Asia-U.S. network as well as the investment in a terminal in Long Beach, California. The closure may benefit bigger rivals, such as A.P. Moeller-Maersk A/S and CMA CGM SA, as competition eases on one of the world’s biggest trade lane.
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