Shipping firm Daiichi Chuo Kisen Kaisha said Tuesday it has filed for bankruptcy protection. It reported liabilities of ¥119.6 billion.
The failure of the mid-size maritime shipping company is attributed to sluggish market conditions due to the slowing of the Chinese economy and higher fees to charter vessels. Tokyo Shoko Research Ltd. called it the biggest failure this year in Japan.
The company suffered net losses for four consecutive years to March and was braced for another loss this business year.
Star Bulk Carrier Co., its wholly owned subsidiary, also filed for bankruptcy Tuesday with liabilities of ¥56.8 billion.
Daiichi Chuo Kisen is the nation’s fifth-largest shipping company in terms of consolidated revenue. Its core businesses are the transport of coal and iron ore by sea.
The Tokyo Stock Exchange said it will delist Daiichi Chuo Kisen shares on Oct. 30.