COSCO Shipping Specialized Carriers loses appeal, ordered to pay $147m in damages

COSCO Shipping Specialized Carriers Co., Ltd. has received a final judgment from the Indonesian Supreme Court in a major litigation case. The court dismissed the company's appeal, upholding the first-instance judgment that orders the company to pay PT OKI Pulp & Paper Mills (OKI) damages amounting to $147,470,227 or IDR 2,143,642,987,632. Additionally, the company is responsible for approximately IDR 650,000 in two-instance litigation costs.

The lawsuit originated from a vessel-to-pier collision incident, leading OKI to file a claim for damages. The initial judgment was delivered on October 14, 2024, by the Palembang High Court, which was subsequently appealed by the company to the Indonesian Supreme Court. The final judgment was issued on September 25, 2025.

Despite the significant sum, the company anticipates no adverse impact on its current or future profits. This is because the litigation is covered by the West of England P&I Club insurance, with the P&I Club bearing the compensation amount exceeding the $20,000 deductible.