Germany's Hapag Lloyd, the world's fourth biggest container carrier, is scrapping or selling 16 ships now that it has merged with Chile's CSAV, reports American Shipper.

Two panamax ships have already been sold to scrap yards in China and Turkey. Two others have been sold to an operator, who intends to employ them.

The company plans to put other ships on the market in coming months, said Rainer Horn, spokesman for the carrier, who added the company was looking to improve its fleet structure.Big ship Savannah.