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Japan: Three biggest shippers sign merger agreement

By  |  October 31, 2016

Three of Japan’s biggest shipping companies are merging their container operations to become more efficient.

Nippon Yusen, Mitsui O.S.K. Lines and Kawasaki Kisen Kaisha said the joint venture would see savings of more than 110bn yen a year.

With a fleet of 256 container vessels, the proposed business would hold about 7% of the world shipping market.

Globally the shipping industry is suffering from overcapacity and weak economic growth.

That has left hundreds of ships standing idle and earlier this year led to the collapse of South Korea’s Hanjin – the world’s seventh largest container shipping firm.

Full Content: BBC

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