COSCO SHIPPING Europe’s Post

LOGISTICS NEWS!! Global Shipping Lines Extend Vessel-Sharing Agreement Four Asian and European container lines are extending their vessel-sharing agreement as rival carriers reset their alliances in a market beset by plentiful capacity and low freight rates. China’s Cosco Shipping, CMA CGM of France, Taiwan’s Evergreen Marine and Hong Kong-based Orient Overseas Container Line, a unit of COSCO, agreed to continue sharing ship capacity through 2032 under the Ocean Alliance pact they formed in 2017. Carriers say the shipping alliances allow them to offer broader geographic coverage while bringing costs down, and the companies said Tuesday that the deal extension will ensure they can continue to provide steady service. Maersk and Hapag-Lloyd said a pool of around 290 vessels will be used in the collaboration, offering a combined capacity of 3.4 million containers, measured in 20-foot equivalents, with Maersk deploying 60% of the ships and Hapag-Lloyd 40%. Adding to complexities, recent attacks on merchant vessels in the Red Sea have forced shipping lines to divert their vessels by thousands of miles, which has increased fuel costs and sent freight rates higher. #redseacrisis #logistics #supplychain #shippingcontainers #shippinglines #COSCO #EVERGREEN #OOCL #maersk #WSJ

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⚓ Carrier Diversification Strategies in Question ❓ - Expanding Horizons: Leading container lines, including COSCO SHIPPING Lines, A.P. Moller - Maersk, CMA CGM, Hapag-Lloyd AG-, and Ocean Network Express, diversify into logistics services beyond traditional port-to-port shipping. - Mixed Outcomes: While CMA CGM maintains stable logistics revenues, A.P. Moller - Maersk faces challenges affecting market share and profitability. Integration Complexities: Integrating logistics services aims to avoid container shipping commoditization, but achieving desired results proves intricate. - Financial Realities: Profit-driven acquisitions amid low interest rates raise concerns about misallocated capital and long-term benefits. - Future Trajectory: Experts predict a potential shift, refocusing on core strengths, like terminal ownership and strategic investments. For more, subscribe our weekly free #newsletter via https://lnkd.in/dH4CEhzt #containershipping #maritime #shippinglines #maersk #cmacgm #hapaglloyd #carriers #shipping #msc #globaltrade #yangming #wanhai #evergreen #hmm

Interesting. Infographic of the biggest container shipping lines in the world. 🌊🚢👇 1️⃣ MSC – Mediterranean Shipping Company 2️⃣ APM-Maersk 3️⃣ CMA-CGM 4️⃣ COSCO – China Ocean Shipping Company 5️⃣ Hapag-Lloyd 6️⃣ ONE – Ocean Network Express 7️⃣ Evergreen Line 8️⃣ HMM – Hyundai Merchant Marine ❗ COSCO SHIPPING Lines, CMA CGM, EVERGREEN LINE, OOCL extended the OCEAN Alliance for 5 years. Any surprises? 🤓👇 Insights via Statista #China #shipping #supplychain #logistics #transportation #vessel #maritime #containerships #oceanfreight #globaltrade _____ 🛎 Follow my hashtag #Danirnautalks on LinkedIn for daily China Supply Chain, Transportation and Logistics insights 👇 Share your thoughts and let's chat in the comments below

As the #Suez and #Panama Canal's navigate their individual struggles, strategic decisions continue to evolve. Whether new #ocean #carrier #alliances that occur every 5-8 years, #land #bridges across continents, #near-shoring or #far-shoring shifts in manufacturing. #RPI #Direct focuses in on all of these things and more to help your company stay ahead of the game. https://lnkd.in/gQEcupTz

Check out the figures of the Q3 2023 comparison of A.P. Moller - Maersk, CMA CGM, and Hapag-Lloyd AG. 🚢📊 #shipping #carriers #logisticsindustry David Sweet, Ph.D. Simon Jelfs Jonathan Cant Wayne Yoshida FocusCore Japan

Now that Hapag-Lloyd has recently announced its plan to join Maersk in a new container alliance agreement called the "Gemini Cooperation" from 2025 onward, the current members of Hapag's former alliance (THE Alliance) are now looking to fill in the huge gap left by the world's 5th largest container shipping company (in terms of TEUs handled). THE Alliance will now be an all-Asian agreement for the first time. Similarly, Maersk will leave its current agreement with the world's largest shipping line MSC (2M Alliance) once their agreement expires in January 2025. The new cooperation is estimated to share a fleet of around 290 vessels with a combined capacity of 3.4 million TEUs (60% from Maersk and 40% from Hapag) and will comprise of 26 mainline service offerings. It is likely that further shifting and consolidation will be taking place in the next few months due to the current instability in the global shipping industry due to low rates (until the start of the Red Sea Crisis), overcapacity of vessels and increasing operational costs. #hapaglloyd #maersk #oceanfreight #oceanshipping

🌊 Big Waves in Global Shipping: A.P. Moller - Maersk & Hapag-Lloyd AG Gemini Cooperation 🌊 In a pivotal shift, A.P. Moeller-Maersk and Hapag-Lloyd are steering the course of global shipping into new waters with their latest vessel-sharing agreement, the Gemini Cooperation. This strategic partnership, set to reshape the industry landscape, marks a response to the evolving challenges in global shipping. Post-pandemic, the industry has faced turbulent seas. The cargo boom has subsided, leaving a surplus of vessels and plummeting freight rates. More so, the intensifying situation in the Middle East has compelled companies to reroute from the Red Sea, spotlighting the need for adaptable and resilient shipping strategies. 🔍 Key Highlights of Gemini Cooperation: 🥇 A combined fleet of 290 vessels with a capacity of 3.4 million containers. Maersk and Hapag-Lloyd contributing 60% and 40% of the ships, respectively. 🥇A focus on enhancing efficiencies and accelerating decarbonization efforts. 🥇A commitment to a target schedule reliability of above 90%. This alliance is not just a shift in partnership but a strategic move amidst a rapidly changing industry dynamic. It's a conscious step away from traditional alliances like 2M and THE Alliance towards a more flexible and interconnected ocean network. However, challenges remain. The industry is still grappling with overcapacity and diminishing freight rates. Maersk's significant workforce reduction and the substantial drop in their freight rates underscore the urgency for cost-effective and efficient operations. 📈 Industry Implications: This move could signal more re-alignments within shipping alliances. It emphasizes the importance of agility and innovation in logistics. The focus on decarbonization reflects a growing environmental consciousness in the industry. As we navigate these changing tides, it's crucial to stay informed and adapt. The Gemini Cooperation could be just the beginning of a new era in global shipping, where flexibility and sustainability steer the helm. #ShippingIndustry #GlobalTrade #Maersk #HapagLloyd #GeminiCooperation #Logistics #Decarbonization #Maritime https://lnkd.in/ewUnQEVU

Amidst the “arms race” in capturing market share on one of the largest trade lanes, #OceanAlliance members of CMA CGM , EVERGREEN LINE COSCO SHIPPING Lines and OOCL are significantly leading the pack in the #AsiaNorthEurope trade . “#THEAlliance has maintained a relatively stable presence on [Asia-N.Europe] trade lane, across the entire analysed period. #2M, however, has seen a constant erosion, which has been taken over by Ocean Alliance. This is a development taking place over essentially the entire period and is therefore not linked to the beginning dissolution of 2M. Essentially, CMA CGM, COSCO and Evergreen, have clearly gained position into North Europe, at the relative expense of Maersk and MSC.” https://lnkd.in/g65KhjHw #containershipping #alliance #marketshare #seaintelligence #containernews