"K" Line delays 10% of newbuild orders

"K" Line president and chief executive Hiroyuki Maekawa told Lloyd’s List at a conference in Tokyo that the deliveries had been delayed by six to 12 months.

The delays are focused on the containership and car carrier segments, which have been particularly hard hit in the global economic crisis as consumer demand has plunged.

Along with its partner lines in the container sector, Cosco, Hanjin Shipping and YangMing have been cutting and rationalising services in the main east-west trades.

"K" Line is also laying up vessels and accelerating the scrapping of older vessels.

“The supply and demand gap has enlarged and we as the shipping industry cannot create demand by ourselves - what we can do is adjust vessel supply,” he said.

Mr Maekawa said that the company had not cancelled any orders.