German container line Hapag-Lloyd is to implement cost cuts to take account of the coronavirus crisis, its chief executive Rolf Habben Jansen said on Wednesday.
In a call with reporters, he said the Hamburg-based firm, the world’s fifth largest shipping operator, would seek cost cuts by a “mid three-digit million euro sum this year.”
A slump in demand and a bunching of shipments due to a disruption in global logistics meant reduced port calls and empty sailings on certain routes, while costs to handle the mismatches had risen, he said.
But Hapag-Lloyd was operating from a healthy capital base and could respond quickly to a rebound in activities while China was emerging out of its slowdown, he added.
(Reporting by Vera Eckert; editing by Thomas Seythal)