Three global shipping lines form alliance serving Asia, Europe and US
The Ocean Three pact of the world's three largest container shipping lines is expected to reshape the battleground for market shares
Three of the world's largest container shipping lines are forming an alliance that will cover major trade lanes between Asia, Europe and the United States in another move shaping the global container trade into a battleground of four large consortiums.
France's CMA CGM, Shanghai-based China Shipping Container Lines and Dubai-based United Arab Shipping Co said yesterday they had agreed to co-operate on east-west trades in 15 services.
The Ocean Three pact will operate for an initial 24 months, pending approval from the US Federal Maritime Commission.
It will garner 20.3 per cent market share in Asia-Europe trade and 13.1 per cent on Asia-North America trade, according to Tan Hua Joo, an executive consultant at Paris-based container shipping consultancy Alphaliner.
Other than services covering Asia-Europe, Asia-Mediterranean, transpacific and Asia-US east coast trades, Ocean Three also plans to open sailings on Asia-Adriatic Sea and Asia-Black Sea routes, with more routes under discussion.
"Potential further agreements related to the transatlantic trade are still under discussion and will be announced in due course," UASC said in a statement.
The move had been widely speculated in the industry as the three companies - ranked third (CMA CGM), seventh (CSCL) and 19th (UASC) in the world by fleet size - were some of the few shipping lines in the top 20 not involved in alliances.
