Container carriers United Arab Shipping Company (UASC) and Hamburg Sud have announced they have signed a global cooperation agreement to enhance market coverage by accessing each other’s core trades.
The agreement came after a series of discussions focused on key growth areas, operational requirements, and addressing logistical imbalances, a UASC statement said.
“This cooperation with Hamburg Sud enables access to the South America trades and illustrates our ambitious approach to enhance geographic coverage,” said Jorn Hinge, president and CEO of UASC.
Ottmar Gast, chairman of the executive board of Hamburg Sud, said, “This cooperation will enable Hamburg Sud and UASC to complement each other’s core services and networks, offering both lines’ customers a more comprehensive global reach and reliable services without incremental investment in new tonnage,” he added.
Initially, Hamburg Sud and UASC have agreed to cooperate on several of their respective core trades. Hamburg Sud will enter the Asia-North Europe and Asia-US trades in December 2014 and January 2015, respectively. UASC, on the other hand, will enter the Europe-South America East Coast and Asia-South America East Coast trades effective from mid-2015.
The cooperation will be in the form of slot exchanges at first, but “vessel deployment opportunities” will be explored later on. “Further geographic scope for cooperation is currently under discussion. Both carriers also intend to explore other areas of cooperation going forward,” the UASC official release stated.
OOCL Southeast Asia-Australia service fee hike
In other news, Orient Overseas Container Line (OOCL) announced a rate increase for its Southeast Asia-Australia services with effect from November 1 to cover basic operating costs or transportation costs in the region, “considering that current levels are unsustainable for the long term.”
The increase in freight rates for traffic from Southeast Asia (Singapore, Thailand, Indonesia, Vietnam, Cambodia, Philippines, Indian Sub-Continent, Myanmar, and the Middle East) to Australia will be increased by US$100 per twenty-foot-equivalent unit and $200 per forty-footer for both dry and refrigerated cargo.
“This increase will apply on top of existing ongoing market rates and will be subject to accessorial surcharges applicable at the time of shipment,” the Hong Kong-listed liner operator said.
Photo: Buonasera
