Source: Schednet.com

KOREA's Hanjin Shipping has announced it will raise rates US$160 per TEU and $200 per FEU on Canada exports to Asia effective from March 1.

The news comes on the heels of a declaration from the company that lost $1 billion in 2009 after full year revenue fell 34.5 per cent to $5.6 billion from $8.6 billion in 2008.

The results follow the December 1 division - or demerger - of the company into two units, leading to the creation of Hanjin Shipping, which runs the shipping business and Hanjin Shipping Holdings, which controls non-shipping operations.

The company said it lost $26 million on revenue of $573 million in the month of December, its first full month of operations following the demerger.

Quarter-to-quarter, Hanjin Shipping suffered a loss of $239 million in the fourth quarter ending December 31 against a $339 million loss posted at the conclusion of the three months ending September 30.

Fourth-quarter revenue increased 12.2 per cent from the third quarter to $1.6 billion, mostly from an increase in transpacific container volume and a recovery in Asia-Europe freight rates.

Container revenue increased by 13.2 per cent in the third quarter to $1.29 billion while bulk revenue rose 8.4 per cent to $321 million.

Hanjin said it expected to return to profitability this year after a period of stabilisation and anticipates an improved sales on the back of increased container traffic with the gradual recovery in the US and Europe.

Hanjin Shipping is Korea's largest shipping carrier that operates 60 liner and tramper services. It moves 100 million tons a year on a fleet of 200 containerships, bulk and LNG carriers.