China Shipping Development Company (CSDC) and China Shipping Container Lines (CSCL) have received a combined subsidy of around CNY 1.05 billion (USD 169m) from China’s Ministry of Finance for the disposal and retrofitting of their vessels.
CSDC was granted approximately CNY 925 million (USD 149m), while CSCL received around CNY 127m (USD 20.5m) through their parent company China Shipping (Group) Company.
CSCL expects the subsidy for the disposal and retrofitting of the vessels will have a positive impact on the company’s annual results.
CSDC said that the subsidy was already taken into account in preparation of the company’s management accounts in early July 2015, based on which the company indicated the expected net loss of approximately CNY 130 million, arising from non-operational items.
World Maritime News Staff