MITSUI OSK Lines has announced plans to establish two new business units as part of its restructuring process in an attempt to weather the current downturn in the dry bulk market.
The two new business units — dry bulk and energy transport — will be in place from April 1 2016, as measures to adjust fleet scale and rationalise ship costs.
“MOL will restructure the dry bulk business divisions and establish the dry bulker business unit to most effectively implement business structural reforms to optimise the fleet portfolio and make more efficient use of management resources,” the company said in a statement.
The energy transport business unit will manage the business divisions by ship type to meet customers’ diverse needs in energy-related industries.
Once the restructuring is over, the dry bulk business unit will consist of the dry bulk business planning and co-ordination office, dry bulk carrier division for iron ore and another division for general bulk cargoes and woodchips.
The energy transport business division will cater to the steaming and thermal coal business.
In dry bulk, MOL said it is “further reducing the number of free capesize vessels, while withdrawing from offering excess tonnage in the free vessel market for panamax and other mid- and small-size bulkers”.
(Source: Lloyd’s List)