Plagued by overcapacity and ongoing losses, the container shipping industry is rife with talk of potential mergers and acquisitions. The consolidation of the highly fragmented industry is long overdue, especially when contrasted with such other heavily capitalized transportation sectors as railroads and airlines.
The possibility that a new wave of M&A may be imminent was touched off by news that several carriers are in various stages of talks aimed at consolidation, including NOL and both Maersk Line and CMA CGM; Cosco and China Shipping Container Lines; and Hanjin Shipping and Hyundai Merchant Marine.