During 2016, several ocean shipping companies & container lines announced a series of mergers and alliances to improve efficiency, resolve their financial woes and address the industry’s oversupply conundrum. The consolidation story dates back to 2015 and has unfolded throughout the year. So as we near the end of 2016 and consider the ocean shipping landscape in the year ahead, the picture is now coming into focus.
The major carrier mergers & acquisitions announced in 2016 include the following:
Ocean carriers are optimistic that such industry consolidation will lead to better asset utilization, lower operating costs and a reduction in the oversupply of vessel capacity.
Along with these major carrier mergers, new container shipping alliances are also forming. The industry is now coalescing around three main carrier alliances who are relatively equal in size and market share. These three major alliances are:
The impact of these new alliance structures will be felt throughout the ocean shipping market. It is important for shippers to keep abreast and aware of carrier service implications, developments, overall financial health and market/pricing changes. Read more at: