With Maersk, MSC and CMA CGM now in damage limitation mode following their failure to get P3 agreed in China, what else can they do to cut costs? Drewry Maritime Research considers the question in their latest ‘Container Insight Weekly’ – excerpts as follows:
Following China’s rejection of P3 last month, Maersk, MSC and CMA [...]
U.S. Federal Maritime Commissioners yesterday unanimously voted to allow CKYH partners and Evergreen Line to discuss cooperating in the trans-Pacific and trans-Atlantic trades.
The discussion agreement allows the carriers to look at launching vessel-sharing agreements on the two major trade lanes while gauging the market and how other carrier alliances take shape. Cosco, “K” Line, [...]
From the Financial Times:
By holing AP Møller-Maersk’s plans for a grand European shipping alliance below the waterline, the Chinese government has sent a powerful message that it will not hesitate to block deals deemed detrimental to corporate and consumer interests in the world’s second-largest economy.
“If anyone was going to stop it, it [...]
In a stunning move that shook the container shipping industry today, Maersk Line, CMA CGM and Mediterranean Shipping Co. scrapped their proposed P3 Network after China’s Ministry of Commerce rejected the vessel-sharing agreement.
“The decision does come as a surprise to us, of course, as the partners have worked hard to address all the regulators’ [...]
Excerpts from the Journal of Commerce:
Maersk Line decided to defer the launch of the P3 Network until Autumn to avoid disrupting services during the peak season, even though it expects to receive approval from Chinese regulators in June.
A significant number of vessels will have to be shifted around as the world’s top three [...]
In the face of looming competition from new or expanded ocean shipping alliances among the biggest carriers, smaller lines are taking steps to ensure their own long-term survival.
United Arab Shipping Co. is a case in point. In the last year it has ordered 17 new post-Panamax container ships to replace its aging fleet; it [...]
The Journal of Commerce tackles the following questions about “how the landscape is changing”:
How can we measure the two pending carrier acquisitions in terms of U.S. trade? How big are the carriers in the P3 Network in terms of overall U.S. trade? How big was U.S. trade in 2013? How big is the global [...]
The world’s top three container lines appear to have little visibility into whether Chinese regulators will join their U.S. and European counterparts in allowing the carriers’ P3 alliance to take effect.
Sources within the carriers of the P3 Network, which comprises Maersk Line, Mediterranean Shipping Co. and CMA CGM, said this week that they have [...]
The G6 Alliance has received the go-ahead from the US Federal Maritime Commission (FMC) to expand its current geographic scope to allow its members: APL, Hapag Lloyd, Hyundai Merchant Marine, MOL, NYK, and OOCL, operational cooperation in the trades between the Far East and the US West Coast, and between North Europe and all US [...]
Plans for three of the world’s largest container shipping firms to form an alliance to share vessels on routes between Europe, Asia and America have lead to concerns that shipping costs for recyclable waste could increase.
The P3 Alliance has been criticized by the Global Shippers Forum – the trade body for the international shipping [...]
The US Federal Maritime Commission (FMC) has cleared the proposal for the P3 alliance, formed by Denmark’s Maersk Line, the Switzerland-based Mediterranean Shipping Company MSC and France’s CMA CGM. The FMC ruling takes effect on Monday 24 March and will apply to trades between the USA and Asia, North Europe and the Mediterranean, FMC said [...]
Evergreen Line and the four members of the CKYH Alliance have agreed in principle to form a new alliance that will share ships on trades between Asia and North Europe and the Mediterranean.
The CKYHE alliance will comprise Cosco, “K” Line, Yang Ming, Hanjin and Evergeen. It plans to begin operations in mid-April with six [...]
Shippers are concerned that the P3 Alliance of Maersk Line, CMA CGM, and MSC could end up hurting competition and pushing their costs up, Chris Welsh, secretary general of the Global Shippers Forum (GSF), told industry news site ShippingWatch.
Citing a recent meeting with a shipper, Welsh said companies that work with the container carrier [...]
Journal of Commerce graphic, G6 vs. P3
Graphic from the Journal of Commerce
From the International Transport Workers’ Federation:
The ITF (International Transport Workers’ Federation) is making a call for careful consideration and consultation over a proposal to create the largest ever shipping alliance to operate on global trades.
It comes in the wake of a Federal Maritime Commission (FMC) summit this week which was called between [...]