• ITVI.USA
    15,909.400
    -330.930
    -2%
  • OTLT.USA
    2.776
    0.014
    0.5%
  • OTRI.USA
    21.610
    -0.170
    -0.8%
  • OTVI.USA
    15,915.300
    -318.010
    -2%
  • TSTOPVRPM.ATLPHL
    3.520
    0.380
    12.1%
  • TSTOPVRPM.CHIATL
    2.960
    -0.660
    -18.2%
  • TSTOPVRPM.DALLAX
    1.610
    0.250
    18.4%
  • TSTOPVRPM.LAXDAL
    3.340
    -0.130
    -3.7%
  • TSTOPVRPM.PHLCHI
    2.100
    -0.250
    -10.6%
  • TSTOPVRPM.LAXSEA
    3.860
    -0.220
    -5.4%
  • WAIT.USA
    126.000
    -2.000
    -1.6%
  • ITVI.USA
    15,909.400
    -330.930
    -2%
  • OTLT.USA
    2.776
    0.014
    0.5%
  • OTRI.USA
    21.610
    -0.170
    -0.8%
  • OTVI.USA
    15,915.300
    -318.010
    -2%
  • TSTOPVRPM.ATLPHL
    3.520
    0.380
    12.1%
  • TSTOPVRPM.CHIATL
    2.960
    -0.660
    -18.2%
  • TSTOPVRPM.DALLAX
    1.610
    0.250
    18.4%
  • TSTOPVRPM.LAXDAL
    3.340
    -0.130
    -3.7%
  • TSTOPVRPM.PHLCHI
    2.100
    -0.250
    -10.6%
  • TSTOPVRPM.LAXSEA
    3.860
    -0.220
    -5.4%
  • WAIT.USA
    126.000
    -2.000
    -1.6%
American ShipperShipping

COSCO to own ships, rather than lease from subsidiary

The state-owned shipping conglomerate will pay about $1.78 billion to have contracts for 14 containerships transferred from subsidiary COSCO SHIPPING Development Group, formerly known as China Shipping Container Lines (CSCL).

Source: VladSV / Shutterstock.com
COSCO SHIPPING Holdings will pay about $1.78 billion to have contracts for 14 containerships transferred from subsidiary COSCO SHIPPING Development Group.

   Chinese state-owned ocean carrier COSCO SHIPPING Holdings Co., Ltd. will pay about $1.78 billion to have contracts for 14 containerships transferred from subsidiary COSCO SHIPPING Development Group so that it will own the vessels, rather than lease them from COSCO SHIPPING Development, the company said in a statement.
   COSCO SHIPPING Development Group was formerly known as China Shipping Container Lines (CSCL) before it was merged with China Ocean Shipping Company (COSCO) last year at the behest of the Chinese government.
   The transfer involves contracts for six 21,000-TEU ships being built at Shanghai Waigaoqiao Shipbuilding Co. Ltd. that were ordered in October 2015 and eight 13,500-TEU vessels under construction at Shanghai Jiangnan Changxing Shipbuilding Co. Ltd. ordered in July 2015.
   COSCO SHIPPING Holdings said its “directors consider that the acquisition of the container vessels under the shipbuilding assignment agreements would be more beneficial to the future strategic development and operational efficiency of the group compared to chartering the container vessels.”
   The ships are scheduled for delivery from 2018 to 2019, COSCO said.

Chris Dupin

Chris Dupin has written about trade and transportation and other business subjects for a variety of publications before joining American Shipper and Freightwaves.

We are glad you’re enjoying the content

Sign up for a free FreightWaves account today for unlimited access to all of our latest content

By signing in for the first time, I give consent for FreightWaves to send me event updates and news. I can unsubscribe from these emails at any time. For more information please see our Privacy Policy.