South Korea sees a surge in cargo train operations
South Korea Boosts Cargo Ship Services Amid Rising Costs
The Ministry of Trade, Industry, and Energy has announced support measures to prepare the national shipping company HMM and domestic transshipment operators for rising freight costs.
The government has added more cargo ships to support maritime transport companies amid rising costs.
The Ministry of Trade, Industry, and Energy has announced support measures to prepare the national shipping company HMM and domestic transshipment operators for rising freight costs.
In this month and the next, national shipping company HMM will deploy three 9,000 TEU ships on trans-Pacific routes and to the Persian Gulf. By November, five 13,000 TEU ships and two 1,800 TEU ships will be added.
HMM will also deploy seven new 10,000 TEU ships on its main routes, with 1,685 TEU ships specifically used for small and medium-sized enterprises to transport their goods to Southeast Asia.
To alleviate the burden of freight costs for small and medium-sized enterprises and support their cash flow, the government will disburse subsidies of up to 20.2 billion won ($15 million).
In parallel, a temporary container yard will be established near the new Busan port, providing a capacity of up to 700 TEU at a lower than standard rate.
“To closely monitor trends and respond quickly, we will continue to operate an emergency response team for import and export logistics and provide information through the Korea Trade-Investment Promotion Agency,” explained a representative from the Ministry of Trade, Industry, and Energy.
South Korea is not alone in planning for extraordinary services. CMA CGM (a French container shipping and transportation company) will also provide additional Asia-Europe voyages from the end of this month to early September, according to Alphaliner. Specifically, the French shipping company will deploy seven 7,000 TEU ships.
