Tokyo Stock Exchange-listed K Line (Kawasaki Kisen Kaisha) has been trying to decrease its diversified fleet. Japanese giant shipowner strives to lower its costs due to economic uncertainty caused by the coronavirus pandemic. Tokyo based diversified shipowner K Line (Kawasaki Kisen Kaisha) prepares a fresh medium-term plan in 2020 for coronavirus recession. K Line (Kawasaki Kisen Kaisha) concentrates on decreasing its operational expenses and obtaining additional liquidity.
K Line (Kawasaki Kisen Kaisha) will proceed to curtail its fleet in 2020 by suspending and laying up ships due to coronavirus recession. Currently, K Line Bulk chartered-in 125 bulk carriers. Therefore, the coronavirus recession is going to severely impact K Line Bulk division. Furthermore, K Line (Kawasaki Kisen Kaisha) reported almost $1 billion of net loss in 2018 due to charter cancellations. However, radical structural reforms that were taken in 2018 for containership and bulk carriers have improved the company’s balance sheet.
Since 2019, K Line (Kawasaki Kisen Kaisha) redelivered 52 containership and bulk carriers back to shipowners. Currently, the Japanese shipping giant K Line (Kawasaki Kisen Kaisha) operates 267 chartered-in ships and 201 owned ships.
Japanese ship owner and operator K Line Bulk (Kawasaki Kisen Kaisha) planned to cancel uneconomical charters for container ships and medium bulk carriers worth $448 million (JPY 50 billion). Japanese ship owner and operator K Line (Kawasaki Kisen Kaisha) forecasts to report loss around $900 million at the end of 2019.
K Line (Kawasaki Kisen Kaisha) is a diversified shipping giant that owns and operates different vessel types in Japan. Under new structural business reforms, K Line Bulk (Kawasaki Kisen Kaisha) wants to reduce market exposure and will examine 25 of its fleet-types in a year. K Line Bulk (Kawasaki Kisen Kaisha) reported a loss of JPY 31 billion in 2019 due to containership joint venture ONE. K Line Bulk (Kawasaki Kisen Kaisha) want to increase period charters for capesize dry bulk carriers and optimize the spot market fleet for panamax and handymax dry bulk carriers.
K Line (Kawasaki Kisen Kaisha) car carriers business will see networks streamlined. Meanwhile, tankers and gas carriers will see spot market exposure reorganized. K Line (Kawasaki Kisen Kaisha) estimates that the cost of the new business plan and reforms is estimated at JPY 65 billion including container ships chartered by ONE and charter cancellations. K Line (Kawasaki Kisen Kaisha) container ship venture ONE confronted with problems immediately after the commencement of the services.
Japanese giant ship owner and operator K Line (Kawasaki Kisen Kaisha) also want to raise JPY 36 billion through selling property and other assets.
Japanese shipowning giant K Line (Kawasaki Kisen Kaisha) appointed new CEO Yukikazu Myochin. New CEO Yukikazu Myochin will replace current CEO Eizo Murakami on April, 2019. CEO Eizo Murakami will become chairman and replacing Jiro Asakura. Japanese shipowner K Line (Kawasaki Kisen Kaisha) will be celebrating the 100th anniversary in April 2019 and strengthens its management. 57 years old Yukikazu Myochin will be the next Chief Executive Officer of Japanese shipowning giant K Line (Kawasaki Kisen Kaisha). New CEO Yukikazu Myochin joined K Line (Kawasaki Kisen Kaisha) in 1984. Diversified giant shipowner K Line (Kawasaki Kisen Kaisha) reported a $217 million loss in the first 6 months of 2018 due to weak market conditions.
The shipping market is expecting a change in Chinese coal import regulations under which the current 18-year age cutoff for import of ships will be reduced to 15 years. This expected coal import regulation change has triggered an increased the veteran post-panamax dry bulk carrier prices. Japanese shipowner and operater K Line Bulk (Kawasaki Kisen Kaisha) sold 2000 built post panamax dry bulk carrier 88K DWT MV Corona Frontier to Chinese shipowners for Chinese flag and coastal coal business for $13.65 million. 2000 built post panamax dry bulk carrier 88K DWT MV Corona Frontier has a scrap value of $5.33 million. Chinese authorities will introduce a regulatory change this spring for the age of coal importing dry bulk carriers. Coal importers buy veteran dry bulk carries then trade their acquisitions for many years with suitable maintenance. Otherwise they can scrap acquired dry bulk carriers with limited financial loss.
German shipowner Martin Harren led Harren & Partner acquired Japanese shipowner K Line’s SAL Heavy Lift fleet of 15 ships. Harren & Partner also owns Combi Lift. After K Line’s SAL Heavy Lift acquisition, Heavy Lift shipowner Harren & Partner will have 26 ships in the fleet. Harren & Partner will be the new dominant shipowner in the super heavy-lift market. MPV and project market has for a long time been in distress. In 2016, BBC Chartering/Briese Schiffahrst offered to acquire SAL Heavy Lift after Japanese shipowner K Line put the outfit up for sale but never materialized.
Japanese shipowner and operator K Line Bulk (Kawasaki Kisen Kaisha) won a panamax contract of affreightment for 10 years to carry coal to Malaysia. Japanese K Line Bulk (Kawasaki Kisen Kaisha) established a joint venture with Halim Mazmin Group (HMG) to own a Malaysian flagged dry bulk carrier to carry coal of TNB Fuel Services which is the largest power utility in. K Line Bulk (Kawasaki Kisen Kaisha) signed a contract of affreightment (CoA) in order to carry 1.5 million metric tons of coal per year from Indonesia, South Africa to Malaysia till 2026.