China Marine Giant COSCOCS Strategizes Business

By Aiswarya Lakshmi
Friday, February 19, 2016
Image: China COSCO Shipping Corp

 China COSCO Shipping Corp Ltd  (COSCOCS), a new company formed by the restructuring of China's top two shipping firms, was officially established on Thursday (February 18).

 
The Chairman Xu Lirong said his company,now the world's largest bulk vessel and oil tanker operator by fleet size,  is planning to deploy more resources to six new businesses.
 
According to a report in China Daily, the shipping major will focus on logistics, industrial equipment manufacturing, financial and shipping services, investment, and operations linked to the country's "Internet Plus" development program.
 
"New businesses such as multimodal transportation, warehouse network development, shipping insurance services, offshore engineering equipment manufacturing, hospital and hotel management are all included in the newly formed conglomerate's scope in the long term," Xu said.
 
The restructuring will integrate the resources and talents of COSCO and China Shipping and achieve an economy of scale, Xu said, noting that the new company aims to be the global leader in shipping, integrated logistics and related financial services.
 
Xu viewed the deal as a boost to China's influence in the global container shipping market, adding that the world's top three container shippers, all Western companies, now control 40 percent of global capacity, while Asia accounts for 70 percent of the world's container freight volume.
 
The newly formed company brings together China's two biggest State-owned shipping conglomerates - China Ocean Shipping (Group) Co and China Shipping (Group) Co - to further compete against well-established global rivals. 
 
The new company will control one of the world’s largest fleets of dry bulk vessels, container ships and oil tankers after the merge.
 
It also owns 830 vessels including container ships, dry bulk vessels and tankers, almost twice the combined fleet of Maersk and Mitsui O.S.K Lines, according to data from ship valuation firm VesselsValue, which does not take into account chartered-in vessels.
 
COSCOCS currently employ 180,000 workers, more than double the workforce of Maersk.
 
The restructuring was the most complicated ever in China's capital market, with 74 asset transactions worth 60 billion yuan.
 

People & Company News

Rickmers Holding, E.R. Capital Drop Merger Plan

Rickmers Holding AG and E.R. Capital Holding have jointly decided not to pursue the merger of their ship management activities.   For many years the companies

MN100: Conrad Shipyard

The Company: Conrad Shipyard was established in 1948 and is headquartered in Morgan City, Louisiana. The company designs, builds and overhauls tugboats, ferries,

Why Maritime Museums Matter

With today’s focus on digital technology, mobile apps, enhanced reality and the overall digital landscape, the maritime industry often gets overshadowed, leaving some to ask,

Finance

Rickmers Holding, E.R. Capital Drop Merger Plan

Rickmers Holding AG and E.R. Capital Holding have jointly decided not to pursue the merger of their ship management activities.   For many years the companies

Yangzijiang Shipbuilding to Slash 2,000 More Jobs

Chinese shipbuilder Yangzijiang Shipbuilding Holdings Ltd said it plans to cut 2,000 additional jobs, just under 10 percent of its current workforce, stepping up

Australia Warns DCNS after Security Breach

Australian defence officials warned French naval contractor DCNS to beef up security in Australia, where it is preparing to build a A$50 billion ($38.13 billion) fleet of submarines,

Logistics

Rickmers Holding, E.R. Capital Drop Merger Plan

Rickmers Holding AG and E.R. Capital Holding have jointly decided not to pursue the merger of their ship management activities.   For many years the companies

Vitol's Malaysia Terminal Suspends Ops after Spill

VTTI, the storage unit of world's largest oil trader Vitol, has suspended operations at its terminal in southern Malaysia following an oil spill, two industry sources said on Friday.

MN100: TPG Marine Enterprises, LLC

The Company: TPG Marine Enterprises, LLC is an operations, logistics and consulting company that specializes in all aspects of cargo movement on the Inland Waterways System.

Dynamic Positioning

MN100: Voith Turbo

The Company: Voith Turbo specializes in the design, manufacture and servicing of high performance driveline equipment. From drive components to electronic drive systems,

PSV VOS Passion Named in China

Platform supply vessel VOS Passion was named in a ceremony on July 18 at Cosco Shipyard in Guangdong, China.   VOS Passion, the fourth of six PX121-type PSVs being built at the shipyard for Vroon,

China Launches Maritime Satellite

China’s Academy of Space Technology in Beijing has launched a new high-tech satellite, called the Gaofen 3 high-resolution Earth observation satellite, which has

Mergers & Acquisitions

Rickmers Holding, E.R. Capital Drop Merger Plan

Rickmers Holding AG and E.R. Capital Holding have jointly decided not to pursue the merger of their ship management activities.   For many years the companies

Hapag-Lloyd: UASC Merger Benefits to show in 2017

German container shipping line Hapag-Lloyd expects to reap a third of targeted annual synergies of $400 million from the planned merger with Arab rival UASC already next year,

Seaspan Raises $80 Mn from Shares Sale

Seaspan Corporation announced today the close of the sale of its previously announced public offering of 3,200,000 8.20% Series G Cumulative Redeemable Perpetual

 
 
Maritime Security Maritime Standards Naval Architecture Pod Propulsion Port Authority Salvage Ship Repair Shipbuilding / Vessel Construction Sonar Winch
rss | archive | history | articles | privacy | contributors | top maritime news | about us | copyright | maritime magazines
maritime security news | shipbuilding news | maritime industry | shipping news | maritime reporting | workboats news | ship design | maritime business

Time taken: 0.0968 sec (10 req/sec)