CMA CGM’s shipping specialist serving the US Government, APL, and Maersk’s counterpart, Maersk Line Limited, have entered into a new slot exchange partnership across several trade routes.

In particular, Maersk will take 80 eastbound TEUs and 130 westbound TEUs on APL’s Transpacific and fully US-flagged EX1 service, while APL will secure 80 eastbound and 20 westbound slots on Maersk’s Indian Subcontinent – US East Coast (MECL) service.

Additionally, the MECL service, which is partially served with US-flagged tonnage, will add the port of Mundra to its rotation at the expense of the westbound Algeciras call. This change is scheduled for late in February.

The port rotations of the relevant loops are:

• EX1 – APL/CMA CGM tonnage – Qingdao (China), Shanghai (China), Busan (South Korea), Los Angeles (US), Oakland (US), Yokohama (Japan), Naha (Japan), Busan and back to Qingdao
• MECL – Maersk tonnage – Jebel Ali (UAE), Mundra (India), Pipavav (India), Nhava Sheva (India), Salalah (Oman), New York (US), Charleston (US), Savannah (US), Houston (US), Norfolk (US), New York, Tangier (Morocco), Salalah and back to Jebel Ali

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CMA CGM, Maersk, and COSCO Shipping Lines are competing for the market lead in the Transpacific trade, according to Alphaliner.

CMA CGM has regained the position of market leader from Maersk, which was number one in November 2023. At the time, the Danish carrier had several extra loader services deployed in the trade. Maersk’s market share is now slightly lower at 13.1%, while its French competitor has 13.2%. COSCO follows a close third with 12.9%.

The dominance of CMA CGM and Maersk is attributed to their respective takeovers of APL and Sealand. Both APL and Sealand still operate US-flagged ships.

CMA CGM and COSCO are both members of the OCEAN Alliance and their Taiwanese partner Evergreen Marine Corporation (EMC) ranks fifth on the Transpacific, with a market share of 11%.

Over the course of 2024, Evergreen phased in additional 15,372 TEU newbuildings into the trade, resulting in a 4.7% fleet growth year-on-year. The combined market share of OCEAN thus stood at 36.7% as of November.

MSC, the largest liner operator, only ranks sixth in the Transpacific trade, with a market share of 8.2%. The Swiss-Italian shipping line reduced capacity by about 20%, compared with November 2023. This is mainly due to the conversion of MSC’s high-capacity Asia – US East Coast ‘Santana’ service into an Asia – Central America – East Coast of South America loop earlier this year, tapping into increased demand for Asian exports to South America.

MSC is, however, expected to significantly increase capacity in February 2025, when its new standalone East-West network will come on stream. Its fifth Transpacific loop, branded Mustang, will serve Xiamen, Yantian, Ningbo, Shanghai, Busan, Seattle, Vancouver, Portland, Busan and Xiamen. Mustang enables MSC to continue offering direct sailings to and from Portland in Oregon, which is currently served by its current Chinook service.

Percentage-wise, Wan Hai Lines recorded the strongest growth in the trade at 39.3%. The Taiwanese carrier deployed more 13,450 TEU newbuildings and it also offered additional sailings under the AA1 service. As of November, Wan Hai had a 3.1% market share in the Transpacific.

Alison Koo
Asia Correspondent

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Container ships, operated by CMA CGM and Ocean Network Express (ONE) were robbed or burglarised while at anchorage in Manila in the first two weeks of August.

The crew members were threatened with knives and guns, and the robbers made off with items from the ships.

The incidents were disclosed by the Regional Cooperation Agreement on Combating Piracy and Armed Robbery against Ships in Asia (ReCaap) on 23 August.

On 4 August, three burglars were seen at the forecastle of ONE-operated 4,253TEU Seaspan New York. One of the suspects tried to stab a crew member who approached them, but missed. However, the crew member was tied up and the suspects broke the padlock of the forecastle and stole two portable welding machines with cables, 20 reefer cables, three bronze nozzles, and five hydrant caps. The aforementioned crew member managed to untie himself and reported the incident to the bridge.

Nine days later, the duty watcher on the 4,249TEU CMA CGM Caimep was proceeding to the forecastle deck (starboard side) when a burglar threatened him at gunpoint. Four other accomplices emerged and forced the watcher to take them to the store room. The watcher’s hands were tied while the burglars stole 20 buckets of paint from the store room.

As the master and second officer of the ship could not contact the duty watcher, the deck cadet went to check. While checking, the deck cadet noticed a burglar, who armed with a knife, warned the former not to move. The deck cadet escaped and radioed the incident to the bridge. The master gathered the crew and after searching the ship, found and freed the duty watcher. Minutes later, the burglars fled the ship in a boat.

In June and July, five other container vessels, operated by CMA CGM’s subsidiary APL, Maersk Line and Wan Hai were also robbed or burglarised.

ReCaaP has warned of a growing number of such robberies in Manila anchorage. “Ship masters and crew are strongly advised to exercise vigilance, maintain constant look-out for suspicious boats and report all incidents immediately to the local authorities. It is also very important for the crew not to engage in a confrontation with the perpetrators,” said ReCaaP.

Martina Li
Asia Correspondent

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China’s two busiest container ports, Shanghai and Ningbo-Zhoushan, are making efforts to secure containers as the well-documented shortage continues post Chinese New Year.

[s2If is_user_logged_in()]The ports are offering incentives to liner operators returning more empty containers to Shanghai from overseas ports. The slow return of empty containers from North America to Asia precipitated the rate spike as it resulted in insufficient boxes for other trades.

In addition, Shanghai International Port Group (SIPG), which oversees many of Shanghai’s terminals, opened an empty container procurement and operation centre on Yangshan Island and a similar facility within Shanghai Port is scheduled to start operations later this year.

On 12 February, the 21,237TEU COSCO Shipping Star arrived in Yangshan port, delivering 13,000 empty containers. In the second half of last year, 220,000TEU in empty containers were returned to Shanghai Port.

SIPG said, “By easing the container rotation problem at overseas ports, it has helped normalise sea freight rates and lowered the cost burden of international trade companies.”

Since 2020, SIPG has supplied 10,000TEU of new containers produced by container manufacturers in northern Zhejiang Province to Shanghai Port. In January, Shanghai and Zhejiang Province co-operated to send about 2,100TEU to Shanghai.

Shanghai’s neighbour, Ningbo-Zhoushan Port, has been making similar efforts.

On 29 January, CMA CGM’s 17,292TEU APL Vanda arrived at the port’s Meishan Island International Container Terminal, delivering 6,100 empty containers that were collected from the ports of Rotterdam, La Havre, Antwerp and Port Klang.

Martina Li
Asia Correspondent

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Thai intra-Asia carrier Regional Container Lines (RCL) has purchased its largest ever ship in what appears to be its maiden second-hand vessel acquisition.

[s2If is_user_logged_in()]In a filing to the Stock Exchange of Thailand, RCL said that its Singapore-registered subsidiary, Regional Container Lines Pte Ltd, had bought the 2007-built 6,310TEU APL Norway from Japanese tonnage provider Shoei Kisen Kaisha for THB940.71 million (US$31.2 million).

The APL Norway, which has been dry-docked, had been on a long-term time-charter to CMA CGM unit APL since the vessel was built by Koyo Dockyard.

Prior to purchasing APL Norway, the largest ships in RCL’s fleet are the 2,732TEU Racha Bhum and Sattha Bhum. RCL was known to charter ships of up to 8,000TEU for its liner network.

VesselsValue indicates that it is the first time in RCL’s history that it has turned to the second-hand market, as all the company’s 38 other ships were commissioned as newbuildings.

Alphaliner noted that RCL is among the many liner operators that have bought second-hand vessels amid rising charter costs.

The container shipping consultancy said, “This trend is expected to continue, especially in a context of reasonably-priced second-hand assets. By contrast, charterers are increasingly struggling to find the tonnage they need to cover their positions, opting in some cases to purchase vessels rather than chartering them.”

Martina Li
Asia Correspondent

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A series of high-profile container losses off the coast of Australia has prompted the maritime authority to introduce a focused inspection campaign from 1 August for container vessels calling at Australian ports.

The Australian Maritime Safety Authority (AMSA) said the campaign will run until 31 October and will target cargo securing arrangements on foreign container ships operating in Australian waters, which are required to have cargo securing arrangements approved under regulation 5 of Chapter VI of SOLAS.

“Incidents like the losses of 81 containers off Newcastle by the YM Efficiency in 2018, 50 containers off Wollongong by the APL England in May and three containers from the Navios Unite off Cape Leeuwin in June have caused significant environmental damage to Australia’s iconic marine and coastal environment. These events affect the livelihoods and safety of commercial fishers and, more broadly, communities across Australia,” said AMSA.

According to AMSA, the purpose of the campaign is twofold, firstly “to draw the attention of ship owners and operators to their obligations under Chapter VI of SOLAS in respect of regulations 2 and 5; and secondly, to “provide a specific inspection focus on the use of cargo information as well as stowage and securing of unitised cargo.”

Focused inspections for container stowage will be carried out with port state control (PSC) inspections, but any data derived from those inspections will not be shared on PSC databases, unless the inspector believes there is ground for a full PSC inspection.

Nevertheless, where ships are found to be non-compliant with SOLAS regulations AMSA said it will take steps to make certain that the vessel is brought into compliance before it continues operations.

AMSA Acting General Manager of Operations Michael Drake said, “We have seen the serious consequence of improper cargo securing arrangements in the form of tonnes of plastics and other debris washing up on our beautiful beaches and floating in our oceans.”

Drake blamed “Rusted cargo securing points, improper lashings and exceeding stack weight limits have all contributed to these incidents and ship operators should be on notice that non-compliance will not be tolerated in Australia.”

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CMA CGM Group has decided to drop its APL brand on its network on the Pacific trades with the French carrier becoming the group’s exclusive commercial carrier brand from 1 October 2020.

The French shipping group believes that with the expertise and the experience of CMA CGM it will be able to serve its customers more effectively and focus on delivering complete, tailored solutions in the transpacific market.

Thus, APL will focus exclusively on servicing the US Government as a long-time service partner. The line will leverage its experience providing US Flag services to solidify and enhance the group’s specialisation in this “key business segment”. APL will also continue its service on the Guam-Pacific trade.

“This simplification fortifies the group’s number-one position in the United States while enabling us to build upon APL’s rich heritage of US flag-ship operations and service to the United States Government,” stated Ed Aldridge, president of CMA CGM and APL in the US.

CMA CGM Group has also announced developments in Singapore. The current CMA CGM regional office and Neptune Orient Lines Limited (NOL) will be redesigned as a major regional hub from 1 October, while NOL will be renamed CMA CGM Asia Pacific Limited.

This new Asia-Pacific hub of the CMA CGM Group will oversee trade management of all exports from Asia via CMA CGM, as well as intra-Asia short-sea services through its regional brand carrier CNC.

This Singapore-based hub will drive CMA CGM’s development in the Asia-Pacific region, said the announcement, and will focus on delivering end-to-end shipping and logistics solutions.

In addition, ANL Container Line Pty. Limited will become a subsidiary of CMA CGM Asia Pacific Limited as part of this development.

“The reorganisation of our transpacific trade will keep our global network more efficient and diversified,” commented Stéphane Courquin, head of CMA CGM Asia Pacific.

With this new reorganisation, the Group claims it simplifies its brand strategy with CMA CGM as its global commercial carrier and subsidiary brands supporting its development in dedicated markets:

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A 5,780TEU container ship that lost 50 boxes off the coast of Australia has been allowed to leave Brisbane, heading for a Chinese repair yard, while the master of the vessel, who appeared in court on 12 June has also been allowed to go home.

The Malaysian master, who remains unnamed, faces charges relating to pollution of the environment as a result of poor cargo loading and the corrosion of cargo securing equipment.

An Australian Maritime Safety Authority (AMSA) spokesperson told Container News, “The master appeared before the Brisbane Magistrates Court on Friday 12 June 2020 where his bail conditions were varied, which allowed the return of his passport enabling him to leave the ship.”

In addition, the crewman was given permission to leave Australia provided he agreed to pay a A$60,000 (USS41,000) deposit.

“The service of documents and other material can happen via his lawyer in Australia, and he must not change his residential address in Malaysia without notifying the Commonwealth Director of Public Prosecutions 14 days ahead of the change. The matter was adjourned to 24 July 2020,” added AMSA.

Meanwhile APL England has now discharged its cargo and has been cleared by AMSA to head for repairs in an unspecified Chinese yard. The ship will leave the Port of Brisbane on the evening of 19 June with a new master, following an AMSA inspection of the vessel’s seaworthiness.

“Prior to allowing the ship to sail, AMSA received a formal written undertaking from the ship’s insurer, Steamship Mutual, that it will pay fines and other amounts that are agreed or imposed by a court in relation to AMSA’s costs in responding to the incident. This commitment is for an amount up to A$22.5 million (US$15.43 million).

APL, a subsidiary of French carrier CMA CGM, and its insurers in the early stages of organising a sonar search of about 1,000km² of water from the Illawarra to Sydney’s southern suburbs where around 35 containers have yet to be found, as required by AMSA in an earlier directive.

AMSA’s CEO Mick Kinley, while rueing the accident, welcomed what he called the “early response” by the owners and insurers.

“The response to incidents like these don’t happen overnight, but this early commitment shows that the vessel’s owners and insurers intend to do what they can to ensure our seas remain safe and clean,” said Kinley.

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An order from the Australian Maritime Safety Authority (AMSA) to the owner of the APL England has been sent directing the company to clean up the remaining containers lost overboard last month.

The vessel lost 50 containers on 24 May and, according to AMSA, some 15 have been recovered, the remaining 35 have not, so far, been located. The direction from the Australian authorities orders the company to recover the remaining boxes as agreed with the authority.

Drift modelling and analysis of box sightings suggest that the containers are in an area between the Illawarra and Sydney’s southern suburbs, the search will cover an area of approximately 1,000km², and in water up to 200m deep.

AMSA said that containers within the search area pose the most immediate environmental threat and may present a safety hazard for commercial fishers.

Mark Morrow, AMSA general manager response, said 15 containers had been recovered from the shoreline or towed in after being spotted floating off the coast, but 35 containers were still missing.

“The owner’s and operator’s responsibility to clean-up the mess left behind by their ship does not end at the water’s edge,” Morrow said, adding, “We have only just finished cleaning-up more than 60 containers and their contents from the seafloor off Newcastle after Yang Ming’s ship YM Efficiency lost containers back in June 2018.

“That is not a pollution legacy that any respectable ship owner or operator would want to leave behind in their wake.”

It is the expected that the owner will present a detailed search plan in the coming days.

Ominously Morrow said, “Failure to comply with this direction constitutes an offence under Australian law.”

Following the loss of the containers AMSA conducted an investigation of the accident and found that the vessel, which is classed by DNV GL, was suffering from a number of defects including the corrosion of lashing points.

The master of the vessel was arrested and was due to appear at Brisbane Magistrates Court on 12 June. There have been no reports on the proceedings so far.

Nick Savvides
Managing Editor

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According to the Australian Maritime Safety Authority (AMSA) the master faces two charges, the first under Section 26F of the Protection of the Sea (Prevention of Pollution from Ships) Act 1983 – Discharging of garbage into the sea contrary to the Act and under Section 141 of the Navigation Act 2012 – Master did not ensure that the vessel was operated in a manner that did not cause

1. 1. pollution to the marine environment in the coastal sea of Australia or the exclusive economic zone of Australia and
   2. damage to the marine environment in the coastal sea of Australia or the exclusive economic zone of Australia.

The case has been adjourned until 12 June when the hearing will move to Brisbane Magistrates Court.

AMSA added, “APL England remains under detention in the Port of Brisbane and will not be released until its serious deficiencies have been rectified. The unloading of the damaged containers has started and is expected to take several days to complete.”

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