MARSEILLE: November 03, 2016. The Ocean Alliance of CMA CGM, COSCO Container Lines, Evergreen Line and Orient Overseas Container Line say the launch of their operating agreement in April 2017 will support 40 services linking 100 ports on East-West trades, with a combined capacity of 3.5 million TEUs.
CMA CGM will deploy a fleet of 119 vessels with a 35 percent capacity share overall. On the Transpacific this translates into 145 weekly calls and 52 ports; Between Asia and Northern Europe, 79 calls and 31 ports; and on the Transatlantic, 34 weekly calls and 21 ports.
Acknowledging approvals from the U.S. Federal Maritime Commission and Korea's Ministry of Oceans and Fisheries, CMA CGM vice chairman Rodolphe Saadé said: "This new offering is a cornerstone of our strategy as it reinforces our competitiveness and strengthens our position as a key player in the shipping industry."
The Ocean Alliance announcement (right) follows a decision by 'K'-Line, Mitsui O.S.K. Lines, and NYK to form a joint venture to integrate their container shipping and terminal businesses – with the latter excluding Japan.
In a statement the three ocean carriers said the new enterprise is designed save Yen110 billion annually while leveraging their combined capacity of 1.4 million TEUs for a current global market share of 7.0 percent.
The joint venture, which is subject to regulatory approval, is expected to be established by July 2017 and operational in August 2018. Shareholdings will be split 31 percent for K-Line and Mitsui OSK Lines while NYK will hold 38 percent.