Hanjin bankruptcy is hurting business, shippers tell Pritzker

The National Retail Federation (NRF) and a coalition of business sector representatives have written to U.S. Commerce Secretary Penny Pritzker to express their concerns about Hanjin Shipping Co.'s bankruptcy and its impact on their industries.

"U.S. businesses rely on predictability in their supply chains, particularly during the busiest shipping season of the year," the letter states. "The recent bankruptcy filing has caused widespread disruptions in freight shipments worldwide."

NRF noted that if the issue isn't resolved soon, "the impact on small- and medium-sized companies could be particularly devastating."

Among the shippers' concerns include ongoing confusion about the location of cargo, where it will be unloaded and whether a cargo owner's goods will be seized by Hanjin creditors once ships are docked.

In addition, the coalition noted that shippers are facing higher fees assessed to pick up cargo, as well as steadily increasing freight charges as they search for new transportation options.

The coalition thanked Secretary Pritzker for her outreach to the business community thus far and urged her to “continue to work with the South Korean government to bring about a swift and economically beneficial resolution that will allow cargo to move through the global supply chain and give certainty to U.S. businesses."