Bankrupt international shipping giant Hanjin Shipping Co. unloaded cargo at the Long Beach, California port earlier this week, according to The Wall Street Journal.
The South Korean shipping company, which handles about 7.8 percent of the U.S.’s trans-Pacific trade cargo, filed for bankruptcy in South Korea on Aug. 31 and was granted protection under U.S. bankruptcy laws a week later.
Still, about 80 Hanjin ships loaded with some 500,000 containers carrying an estimated $14 billion in cargo remained stranded at sea.
WSJ now reports that 13 ships owned or leased by the company are getting ready to unload their cargo at U.S. ports after Korean Air Lines Co. agreed to lend Hanjin the equivalent of $54 million. The airline is a large stakeholder in the shipping company.
“Retailers’ main concern is that there is millions of dollars worth of merchandise that needs to be on store shelves that could be impacted by this,” National Retail Federation Vice President for Supply Chain and Customs Policy Jonathan Gold said in a statement earlier this month. “It is understandable that port terminal operators, railroads, trucking companies and others don’t want to do work for Hanjin if they are concerned they won’t get paid. However, we need all parties to work together to find solutions to move this cargo so it does not have a broader impact on the economy.”
It still remains to be seen whether or not Hanjin’s problems will be straightened out by the holiday season and if it will cause any drag on the shipping of holiday goods.
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