The pre-eminent position of Hong Kong as the world's top container port will not be affected by the partnership between the Port of Singapore and the Global Alliance, according to the two biggest container terminal operators in Kwai Chung.
Modern Terminals (MTL) said it was not unusual for shipping consortiums and big shipping lines to strike long-term partnerships with ports or huge terminals. 'We have such partnerships with giant shipping lines as Maersk, for instance,' Mike Trueman, MTL corporate communications manager, said. Besides, the Singapore port is in direct competition with emerging hubs in Southeast Asia such as Malaysia, the Philippines and Thailand.
The Hongkong International Terminals (HIT) said Singapore served a different market.
'It's a transshipment hub for Southeast Asia. At any rate, we have a long-term partnership with a shipping consortium, to cite an example,' Nora Yong, corporate communications manager of Hutchison International Port Holdings, said.
The Singapore port, seeking to protect its position as a regional transshipment hub in the face of rising competition, forged a 10-year partnership on Monday with the shipping consortium.
The Global Alliance, grouping American President Lines (APL), Mitsui OSK Lines, Nedlloyd Lines, and Orient Overseas Container Line, would enjoy the benefits of a dedicated terminal, price stability and cost effectiveness under the agreement, port officials said.
Many global shipping lines have been realigning themselves into consortiums this year, seeking greater control over operations at their ports of call to control their costs and secure better port services, officials said.