More than 40 containerships operated by Nan Tsing Container Lines have been detained at several major ports in China, following the company’s announcement to suspend operations at the end of August due to debt issues.
Shippers are now having difficulties to get their cargo from more than 10,000 containers also detained. Shanghai Maritime Court ruled last week to freeze 1,367 containers stored at SIPG’s Yidong Container Terminal, although according to the ruling the court only ruled to freeze the containers not including the cargo inside. However several cargo owners have complained that Shanghai Port has refused the requests to release the cargo, and have had to seek help from the court.
When contacted by Splash, a spokesperson at SIPG said the company is currently working on the matter and will find a solution soon.
According to market sources, many of the ships Nan Tsing chartered are from Quanzhou and have sailed back to Quanzhou Port where cargo owners can pick up the cargo after paying some fund guarantees to Nan Tsing’s creditor companies.
A representative from one shipper told Splash that they don’t think it is fair but they have to pay the funds in order to avoid greater losses.
Nan Tsing has established a liquidation team to evaluate the assets of the company.