OCEAN Alliance Particulars Deliberate Companies

The information out of Beijing on the finish of final week on mp.weixin.qq.com is that the carriers of the OCEAN Alliance signed a doc laying out the vessel sharing settlement’s deliberate community of companies:

Members of the OCEAN Alliance, COSCO Container Strains, CMA CGM, Evergreen Line and Orient Abroad Container Line, right now signed a doc entitled the Day One Product, which units out the proposed OCEAN Alliance’s community, together with port rotation for every service loop.

The Day One community intends to deploy round 350 container vessels with an estimated whole carrying capability of three.5million TEUs to supply one of the complete service protection available in the market on the next commerce lanes. The vessel deployment particulars for every service loop, will probably be launched round finish of this November.

•    20 Transpacific companies (estimated 160 port pairs, with 13 Asia – West Coast North America companies, 7 Asia – East Coast North America and U.S. Gulf companies)

•    6 Asia – Europe companies (estimated 110 port pairs)

•    5 Asia – Mediterranean companies (estimated 165 port pairs)

•    3 Transatlantic companies (estimated 70 port pairs)

•    5 Asia – Center East companies (estimated 70 port pairs)

•    2 Asia – Pink Sea companies (estimated 35 port pairs)

A pair weeks in the past the Federal Maritime Fee (FMC) permitted the OCEAN Alliance for enterprise, however did require some change from the alliance’s preliminary plan.

FMC Commissioner William P. Doyle laid out the phrases and situations the FMC required modified within the OCEAN Alliance’s preliminary vessel sharing settlement in a press release.

The most important space of concern was that the settlement initially allowed COSCO, CMA CGM, Evergreen, and OOCL to barter collectively for third social gathering companies like tug companies, barge companies, bunker gas suppliers, stevedoring companies, and so forth, making a threat of monopsony energy over suppliers.

Monopsony is the flip of a monopoly, the place as an alternative of getting one provider manipulating the market, it’s manipulated by one purchaser unfairly affecting the pricing of companies or merchandise from a number of sellers.

Doyle’s assertion is quoted in full on Marine Log, however right here is a spotlight, commenting on how the fee required adjustments within the OCEAN Alliance’s settlement to protect towards monopsony:

 

… intensive adjustments have been made to provisions that allowed for joint contracting and procurement. The ultimate language of Articles 5.2(e) and 5.11 eliminated some joint contracting authorities completely and restricted the remaining authority to collectively contract for transshipment, barge/feeder companies, bunker gas, and amenities by stipulating that these might solely happen outdoors the USA. Article 5.9 was additionally considerably altered to comply with the framework established within the 2M Alliance Settlement (Maersk Line and Mediterranean Delivery Firm (MSC). Below that framework, the Events should negotiate independently and enter into separate contracts with port terminal amenities, marine terminal companies (besides the place a terminal desires to barter with the Events collectively), tug companies, stevedoring companies, and different companies. On the operations facet, although, the Events can nonetheless collectively talk about and coordinate on issues corresponding to port schedules, berthing home windows, and different operational issues.

The USA’ FMC isn’t the one regulator to approve the OCEAN Alliance.

In accordance with the weixin article quoted on the prime of this weblog, South Korea’s Ministry of Oceans and Fisheries have given approval, the OCEAN Alliance has completed its EU self-assessment compliance evaluate, and the carriers have filed their alliance settlement to the Ministry of Transport (MOT) of the Folks’s Republic of China.

Whereas the approval remains to be being waited for from China, it is rather unlikely the MOT will halt the OCEAN Alliance.

All indicators level to the companies listed above starting on April 1st, 2017 as deliberate.

The true query is what’s going to occur with THE Alliance that was deliberate between  Hanjin, Hapag-Lloyd , Kawasaki Kisen Kaisha (“Ok” Line), Mitsui O.S.Ok. Strains (MOL), Nippon Yusen Kaisha (NYK) and Yang Ming.

Hanjin’s collapse and the newly introduced plan of merger between “Ok” Line, MOL, and NYK makes it doubtless some main adjustments will occur with THE Alliance.

There’s additionally hypothesis of change with the 2M Alliance, as variations in technique between Maersk and Mediterranean Delivery Firm (MSC) appear to be showing. 2M had signed an settlement to debate letting Hyundai Service provider Marine (HMM) be a part of the alliance, however the addition now appears to be like not possible.

As carriers at all times declare with their alliances, the brand new OCEAN Alliance prioritizes service high quality and schedule reliability. The total checklist of OCEAN Alliance’s Day One Product Settlement’s deliberate companies, together with port stops, is listed under.

DAY ONE Product:

20 Transpacific companies (with 13 Asia – West Coast North America companies):

9 Pacific Southwest companies:

PSW1: Fuqing-Nansha-Hong Kong-Yantian-Xiamen-LGB/LAX-Oakland-Fuqing

PSW2: Tianjin-Qingdao-Shanghai-PrinceRupert-LGB/LAX-Oakland-Tianjin

PSW3: (AWE3)-Port Kelang-Singapore-Jakarta-Laem Chabang-CaiMep-LGB/LAX-Oakland-Hong Kong-(AWE3)

PSW4: Lianyungang-Shanghai-Ningbo-LGB/LAX-Seattle- Lianyungang

PSW5: Qingdao-Shanghai-Ningbo-LGB/LAX-Oakland-Tokyo-Nagoya-Qingdao

PSW6: Kaohsiung-CaiMep-Chiwan-Hong Kong-Yantian-Kaohsiung-LGB/LAX- Kaohsiung

PSW7: Taipei-Xiamen-Shekou-Yantian-LGB/LAX-Oakland-Taipei

PSW8: Yantian-HongKong-Kaohsiung-Taipei-LGB/LAX-Oakland-Tacoma- Kaohsiung -Yantian

PSW9: Ningbo-Shanghai-Pusan-LGB/LAX-Pusan-Ningbo

 

4 Pacific Northwest companies:

PNW1: Yantian-Xiamen-Ningbo-Shanghai-Pusan-Seattle-Vancouver-Yokohama-Yantian

PNW2: (AWE1)-Singapore-Cai Mep-Hong Kong –Yantian-Shanghai-Ningbo-Prince Rupert-Vancouver-Qingdao-(AWE1)

PNW3: Hong Kong-Yantian-Kaohsiung-Shanghai-Ningbo-Tacoma-Vancouver-Tokyo-Osaka-Qingdao-HongKong

PNW4: Chiwan-HongKong –Yantian-Kaohsiung-Vancouver-Seattle-Pusan-Kaohsiung-Chiwan

 

7 Asia – East Coast North America and U.S. Gulf companies:

AWE1: (PNW2)-Qingdao-Ningbo-Shanghai-Pusan-New York-Boston-Norfolk-Singapore-(PNW2)

AWE2: Xiamen-Kaohsiung-HongKong-Yantian-Colon-New York-Baltimore-Norfolk-Xiamen

AWE3: (PSW3)-Hong Kong-Cai Mep-Singapore-Port Kelang-Colombo-Halifax-New York-Norfolk-Savannah-Port Kelang -(PSW3)

AWE4: Qingdao-Ningbo-Shanghai-Pusan-Colon-Savannah-Charleston-NewYork-Colon-Qingdao

AWE5: HongKong-Yantian-Ningbo-Shanghai-Colon-Norfolk-Savannah-Charleston-Hong Kong

AWE6: HongKong-Chiwan-Ningbo-Shanghai-Pusan-Houston-Cell-Miami-Jacksonville-Singapore-HongKong

AWE7: Shanghai-Ningbo-Xiamen-Yantian-Houston-Cell-Shanghai

 

6 Asia – Europe companies:

NEU1: Shanghai-Ningbo-Xiamen-Yantian-SEA HUB-SUEZ Canal-Felixstowe-Rotterdam-BalticPort(s)（To be confirmed）-Felixstowe-SUEZ Canal-SEA HUB-Yantian-Shanghai

NEU2: Tianjin-Dalian-Qingdao-Shanghai-Ningbo-SEAHUB-SUEZ Canal-Rotterdam-Hamburg-Antwerp-SUEZCanal-Shanghai-Tianjin

NEU3: Ningbo-Shanghai-HongKong-Nansha-Shekou-SEA HUB-SUEZ Canal-Piraeus-Antwerp-Felixstowe-Hamburg-Rotterdam-Southampton*-Piraeus-SUEZCanal-SEA HUB-Hong Kong-Ningbo

NEU4: Tianjin-Pusan-Qingdao-Shanghai-Ningbo-Yantian-SEAHUB-SUEZ Canal-Tangier-Southampton-Dunkirk-Hamburg-Rotterdam-Zeebrugge-LeHavre-SUEZ Canal-Khor Fakkan-SEA HUB-Xiamen-Tianjin

NEU5: Shanghai-Ningbo-Yantian-Cai Mep-SEA HUB-SUEZ Canal-LeHavre-Rotterdam-Hamburg-Antwerp-LeHavre-Malta-SUEZ Canal-Jeddah-Nansha-Shanghai

NEU6: Kaohsiung-Ningbo-Shanghai-Taipei-Yantian-Colombo-SUEZCanal-Rotterdam-Felixstowe-Hamburg-Rotterdam-SUEZCanal-Colombo-Kaohsiung

 

5 Asia – Mediterranean companies:

MED1: Qingdao-Shanghai-Ningbo-Kaohsiung-Hong Kong-Yantian-SEAHUB-SUEZ Canal-Piraeus-La Spezia-Genoa-Fos-Valencia-Piraeus -SUEZ Canal-Jeddah-Colombo-SEAHUB-Hong Kong-Qingdao

MED2: Qingdao-Pusan-Shanghai-Ningbo-Xiamen-Nansha-Yantian-SEAHUB-SUEZ Canal-Malta-Valencia-Barcelona-Fos-Genoa-Malta-Beirut-SUEZ Canal-Jebel Ali-SEA HUB-Xiamen-Qingdao

MED3: Pusan-Shanghai-Ningbo-Kaohsiung-Chiwan-SEA HUB-SUEZCanal-Port Stated -Beirut-Iskenderun-Istanbul Evyap (Izmit)-Istanbul Ambarli(Avcilar)-Constanza-Odessa

-Istanbul Ambarli(Avcilar) -Piraeus -SUEZ Canal-SEA HUB-Pusan

MED4: Qingdao-Shanghai-Ningbo-Taipei-Yantian-Shekou-SEAHUB-SUEZ Canal-Ashdod-Haifa-Alexandria-Piraeus-SUEZ Canal-Jeddah-SEA HUB-Shekou-Kaohsiung-Qingdao

MED5: Shanghai-Ningbo-Pusan-Chiwan-SEA HUB-SUEZ Canal-Malta-Rijeka-Koper-Trieste-Venice-Koper -Malta-Damietta -SUEZ Canal-Jeddah-SEA HUB-Chiwan-Shanghai

3 Transatlantic companies:

TAT1: Malta-Livorno-Genoa-Fos-Barcelona-Valencia-Lisbon-NewYork-Norfolk-Savannah-Miami-Algeciras-Valencia*-Malta

TAT2: Southampton-Antwerp-Rotterdam-Bremerhaven-Le Havre-NewYork-Norfolk-Savannah-Charleston-Southampton

TAT3: Le Havre-Antwerp-Rotterdam-Bremerhaven-Charleston-Savannah-Miami-Veracruz-Altamira-Houston-NewOrleans-Miami-Le Havre

5 Asia – Center East companies:

MEA1: Tianjin-Dalian -Pusan Shanghai -Ningbo-Chiwan-Singapore-KhorAl Fakkan-Jebel Ali-Bandar Abbas-Sohar -Port Kelang -Singapore –Shekou-Tianjin

MEA2: Qingdao-Shanghai-Ningbo-Chiwan-Singapore-JebelAli-Dammam-Jubail-Abu Dhabi-Singapore-Qingdao

MEA3: Lianyungang-Qingdao-Ningbo-HongKong –Shekou-Singapore-Jebel Ali-Bahrain-Dammam-Jubail-Port Kelang-Lianyungang

MEA4: Shanghai-Ningbo-Taipei-Shekou-Tanjung Pelepas-Colombo-JebelAli-Bandar Abbas-Port Kelang -LaemChabang*-Hong Kong-Shanghai

MEA5: Shanghai-Ningbo-Nansha-Singapore-Jebel Ali-AbuDhabi-Dammam-Singapore-Nansha-Shanghai

2 Asia – Pink Sea companies:

RES1: Shanghai-Ningbo-Taipei-Xiamen-Shekou-SEA HUB-Jeddah-Sokhna-Aqaba-Jeddah-SEAHUB-Shanghai

RES2: Shanghai-Ningbo-Chiwan-SEA HUB-Djibouti-Jeddah-Aqaba-PortSudan-Djibouti-SEA HUB-Shanghai