state aid

FMC commissioners call for federal support for ‘struggling’ box terminal operators

The US federal government should consider stepping in to help container terminal operators stay in business, as volumes plummet as a consequence of the coronavirus pandemic.
Two FMC commissioners, Carl Bentzel and Louis Sola, have written to the department of transport urging it to look at ways of bringing financial relief to the sector.
They said they feared some terminal operators could rack such substantial losses that they could cease operating.
“We have …

The post FMC commissioners call for...

https://theloadstar.com/fmc-commissioners-call-for-federal-support-for-failing-box-terminal-operators/

ITF warns governments to be careful bailing out debt-laden carriers

As the economic fallout from the coronavirus pandemic continues, the OECD’s International Transport Forum (ITF) has renewed its criticism of the structure of the liner shipping industry, according to Splash247. The slump in consumer demand has driven a steep decline in volumes and looks set to wreak havoc on carriers’ balance sheets, and led the ITF to refine its warnings about the re-emergence of state subsidies and associated loss of …

The post ITF warns governments to be careful bailing out...

https://theloadstar.com/itf-warns-governments-to-be-careful-bailing-out-debt-laden-carriers/

Supply chain radar: Inside the upside down world of HMM

Like a footballer returning from a potentially career-ending injury who appears unable to commit to a tackle, the spectre of Hanjin continues to haunt the South Korean shipping industry – it is hard to overstate just how traumatic many found the bankruptcy of its largest shipping line; surely one of the key reasons why the country’s government continues with its support of Hyundai Merchant Marine.
[One little-reported news item from a …

The post Supply chain radar: Inside the upside down world...

https://theloadstar.com/supply-chain-radar-inside-the-upside-down-world-of-hmm/

State Aid: Commission Launches In-Depth Investigation into Public Service Delegation Contracts for Maritime Services to Corsica

The European Commission has launched an in-depth investigation to determine whether the public service delegation contracts for maritime services to Corsica awarded in June 2019 are in line with EU State aid rules. Maritime services between Corsica and mainland France run between three mainland...

https://www.ferryshippingnews.com/state-aid-commission-launches-in-depth-investigation-into-public-service-delegation-contracts-for-maritime-services-to-corsica/

EC launches new probe into ‘dubious’ Italian port tax exemptions

The European Commission’s competition watchdog has launched an in-depth investigation into tax exemptions granted to Italian port authorities.
The move comes a year after the EC launched an initial probe into tax exemptions granted by the governments of Spain and Italy to port authorities.
Last year, the Spanish government amended its tax arrangements for port authorities “to the normal corporate income tax rules, as from 2020”. However, Italy did not follow suit.
Commissioner Margrethe …

The...

https://theloadstar.com/ec-launches-new-probe-into-dubious-italian-port-tax-exemptions/

OECD calls for reform of ‘ineffective’ maritime subsidies

Maritime subsidies issued by some of the largest economies to the shipping industry have had a limited impact, according to new research from the OECD, which argues that they need to be reformed.
A new report released today, Maritime Subsidies – do they provide value for money? from the OECD-backed International Transport Forum and authored by maritime economist Olaf Merk, investigated the impact of the three main types of government subsidies …

The post OECD calls for reform of ‘ineffective’...

https://theloadstar.com/oecd-calls-for-reform-of-ineffective-maritime-subsidies/

Carriers getting increasingly nervous as protectionist policies gain ground

Ocean carriers are getting increasingly nervous over trade tensions and state–subsidised competitors, as protectionist policies continue to gain ground across the globe. 
Several shipping bodies, including the International Chamber of Shipping (ICS), Asian Shipowners’ Association (ASA) and European Community Shipowners’ Association (ECSA) took to the floor of the WTO this week to express their concerns. 
They presented two papers to the WTO, stating they were “fully committed to the...

https://theloadstar.com/carriers-getting-increasingly-nervous-as-protectionist-policies-gain-ground/

HMM unveils ambitious plan to double box ship capacity with new ULCVs

South Korean ocean carrier Hyundai Merchant Marine (HMM) has prepared an ambitious blueprint for expansion, aiming to double its current capacity over the next four years.
The bullish message to staff from HMM’s chief executive, CK Yoo, last week reinforced the South Korean government’s determination to do “whatever it takes” to support its flag-carrier after the national disgrace of Hanjin Shipping’s demise in 2016.
Speaking to employees at its Seoul HQ last week, …

The post HMM unveils...

https://theloadstar.co.uk/hmm-unveils-ambitious-plan-double-box-ship-capacity-new-ulcvs/

Anger in Europe as state subsidies for South Korean carrier HMM soar

State-owned Korea Ocean Business Corporation (KOBC) has, reportedly, signed off on some W6.15trn ($5.4bn) of new funding for the country’s biggest ocean carrier, Hyundai Merchant Marine (HMM) – but much of this cash will be needed to cover continued operations.
KOBC, launched in July this year to support South Korea’s ailing shipping industry, has already supported HMM with a $740m sale-leaseback transaction on 10 of its ships, based on the original value …

The post Anger in Europe as state...

https://theloadstar.co.uk/anger-europe-state-subsidies-south-korean-carrier-hmm-soar/

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