DVD Bank head of shipping, Mr. Dagfinn Lunde, said the downturn in shipping would be “deep and long”.
In two years’ time “we will have a crisis very similar to that of the mid-1980s”, which some experts believed was the worst ever experienced by shipping, he said.
“There will be many more bankruptcies,” Mr Lunde told the Lloyd’s Shipping Economist Ship Finance & Investment Conference in London.
What I found interesting is he believes container operators will go bust, in addition to dry bulk.
“You can see this from the leverage of the companies and the charter rates. It is a question of weeks and months.”
Some bankruptcies were “very close around the corner” and could involve big names in the industry.
Collapses would not only involve dry bulk operators, but also other sectors such as containership operators.
I can't think which container carriers are likely to go bankrupt. I guess some of the smaller ones. We'll have to keep an eye on that.
No comments:
Post a Comment