Federal Maritime Commission approved vessel sharing agreement for Ocean Alliance

CMA CGM shipThe Federal Maritime Commission (FMC) completed the review of the application for approval of the Ocean Alliance, which include Cosco Shipping, CMA CGM, Evergreen Marine and OOCL. The Commission said that carefully studied all aspects to ensure that the establishment of the alliance will not violate the principles of fair competition in container shipping industry. The vessel sharing agreement for Ocean Alliance shall enter into force on October 24 and will have dominant position in container transportation on Asia-North America routes (35%) and Asia-Europe trade (39%). The Ocean Alliance has not yet received the approval of EU and Chinese regulators.

In August, the Federal Maritime Commission has suspended consideration of the application and request additional information about the container shipping alliance, which slowed down the process of negotiation for two months.

The agreement for establishment of Ocean Alliance is for vessel sharing, as well as conclude an agreement on joint activity in the services, serving the transportation between the United States and the ports of Asia, North Europe, the Mediterranean, Middle East, Canada, Central America and the Caribbean region.