Zhejiang Shipping Group declared bankrupt by Chinese court

Court documents showed that Zhejiang Communications Investment Group, parent firm of Zhejiang Shipping Group, made the bankruptcy application to the court to liquidate the shipping firm in view of the unresolved debt crisis.

The court documents also showed that 14 creditors have sought to claw back close to RMB11bn ($1.6bn), while Zhejiang Shipping Group’s assets as at 28 July 2016 were worth RMB5.15bn.

Last week, Zhejiang Shipping Group’s subsidiary Wenzhou Shipping was declared bankrupt by a local court. Wuzhou Shipyard, another of its subsidiary, was declared bankrupt in December 2015.