China - Steel Imports

July 2003

There is reported to be a falling market for steel imports to China which is causing various problems: Chinese receivers/buyers are said to be looking for opportunities to reject steel cargoes already destined for Chinese ports. Ante-dated bills of lading provide receivers with an opportunity to do so in addition to attempts to recoup losses from owners. 

The consequences for Members are serious. Members will also be aware that the Club is unable to extend P&I cover in any case where a bill of lading has been misdated, even where charterers and/or sub-charterers are to blame. 

Given this climate, Members are advised to be especially vigilant when fixing vessels to carry steel to China at this time.