Beijing: A China Cosco Holdings Co. ship was arrested in Louisiana, becoming at least the second vessel owned by China’s biggest maritime company to be detained in about a month as shipowners pursue overdue payments from China’s largest shipping firm, Seatrade Asia reports.
The Jia Li Hai was attached as Classic Maritime Inc. seeks $2.7 million in fees and costs from Cosco unit Cosco Bulk Carrier Co., according to filings at the U.S. District Court in the Eastern District of Louisiana. Judge Lance M. Africk issued the warrant on August 3, reports Bloomberg.
A Cosco ship was also held last month in Singapore in a case brought by Arlen Maritime Co. The shipowner was among companies in arbitration with the state-controlled Chinese line, seeking $8.58 million, according to Singapore court documents. ?Both cases concern ships chartered by Cosco on long-term contracts before a plunge in rates caused by slowing demand and rising capacity. In the Singapore case, Tianjin, China-based Cosco was paying $87,000 a day for a capesize vessel, or about eight times current rates.
The Classic Maritime case centers on the Bulk Denmark, which Cosco hired around August 1, 2008, according to a court document. The shipping line failed to pay fees due on July 1 and August 1, the filing said.
The issue is “pure business behavior,” China Cosco said in an e-mailed response to Bloomberg enquiries today, without elaboration. In a separate e-mail last week, it said that it wasn’t facing any business difficulties and that it was engaging in usual commercial activities with lessors.
The Jia Li Hai was attached as Classic Maritime Inc. seeks $2.7 million in fees and costs from Cosco unit Cosco Bulk Carrier Co., according to filings at the U.S. District Court in the Eastern District of Louisiana. Judge Lance M. Africk issued the warrant on August 3, reports Bloomberg.
A Cosco ship was also held last month in Singapore in a case brought by Arlen Maritime Co. The shipowner was among companies in arbitration with the state-controlled Chinese line, seeking $8.58 million, according to Singapore court documents. ?Both cases concern ships chartered by Cosco on long-term contracts before a plunge in rates caused by slowing demand and rising capacity. In the Singapore case, Tianjin, China-based Cosco was paying $87,000 a day for a capesize vessel, or about eight times current rates.
The Classic Maritime case centers on the Bulk Denmark, which Cosco hired around August 1, 2008, according to a court document. The shipping line failed to pay fees due on July 1 and August 1, the filing said.
The issue is “pure business behavior,” China Cosco said in an e-mailed response to Bloomberg enquiries today, without elaboration. In a separate e-mail last week, it said that it wasn’t facing any business difficulties and that it was engaging in usual commercial activities with lessors.