Relentless slide in Baltic indexes, which are extensively used by shipping industry as a rate to charge for shipping has finally claimed a major victim and that is Hanjin shipping, which is the largest container carrier in South Korea and seventh largest in the world. The company had four regional headquarters around the globe and used to carry over 100 million tons of cargo annually. Its fleet consists of 150 containerships and bulk carriers.

These shows the true face of recovery which the central bankers around the world have been boasting on. Despite low-interest rates and relentless appetite for bonds from investors, Hanjin could tackle a debt worth around $5 billion at the end of 2015. Despite the so-called recovery and strong labor market, global trade has been so weak that shipping industry continues to suffer around the world.

The cascading effect is yet not clear from this bankruptcy but if the vast array of Hanjin ships remains idle in the waters for months, the world could face some serious logistics issue.