MOL’s first priority is to restore profita[ds_preview]bility. Looking ahead to 2017, the company’s CEO Junichiro Ikeda said, integrating the containership business with rivals NYK and K Line reflects »our strong determination to boldly reshape our business.«
In his new year’s address to the staff Ikeda pointed out, that the long-stagnant containership and dry bulker markets have been showing signs of bottoming out. Developments such as the bankruptcy of a major overseas shipping company have accelerated industry realignment and consolidation. The MOL Group has taken steps to address major management issues including structural reforms, he said.
Nevertheless, the containership business will remain a core business. But, the integration of the three companies will give a foundation to compete with the world’s leading mega-carriers, said Ikeda. »That is why I expect the new company to pursue integration synergies and become a leaner, stronger business enterprise«.
In addition, MOL will be exploring new business fields such as LNG carriers, liquefied ethane transport business and the offshore business. According to Ikeda, the MOL Group will have a much different profile. »I want MOL to be a leading full-line marine transport group,« he said. Changes in the business environment, notably the »slow trade« phenomenon, reflect a long-term structural change in global trade. MOL hast o be reshaped to face these new challenges.
