Chinese shipping giant COSCO, in conjunction with its CKYH alliance partners “K” Line, Yang Ming and Hanjin, said the alliance plans to shift 50 percent of its collective fleet to 'super slow steaming.
In making the announcement Friday at the World Shipping Summit in Quingdao COSCO CEO and President Captain Wei Jiafu cited control costs, fuel savings, and control of greenhouse emissions as the primary reasons for the allliance taking the step. Members of the alliance have all been hit with substantial losses in the fiscal quarter ending Sept. 30. COSCO reported revenues fell 52 percent to $2.3 billion in the third quarter, "K" Line reported a net loss of $514 million on revenues of $2.35 billion, Yang Ming reported traffic volumes down 30 percent, and Hanjin on Thursday reported a net loss for the quarter of $338 million on revenues of $1.44 billion.
Captain Jiafu said that the alliance is welcoming other shipping lines to join in the move.
In making the announcement Friday at the World Shipping Summit in Quingdao COSCO CEO and President Captain Wei Jiafu cited control costs, fuel savings, and control of greenhouse emissions as the primary reasons for the allliance taking the step. Members of the alliance have all been hit with substantial losses in the fiscal quarter ending Sept. 30. COSCO reported revenues fell 52 percent to $2.3 billion in the third quarter, "K" Line reported a net loss of $514 million on revenues of $2.35 billion, Yang Ming reported traffic volumes down 30 percent, and Hanjin on Thursday reported a net loss for the quarter of $338 million on revenues of $1.44 billion.
Captain Jiafu said that the alliance is welcoming other shipping lines to join in the move.
