FMC issues new list of government-controlled carriers

FMC issues new list of government-controlled carriers    The U.S. Federal Maritime Commission has published an updated list of government-controlled carriers subject to special regulatory oversight by the FMC.
   Since the agency published its previous list of controlled carriers on June 9, 2003, the only additions to that list are American President Lines, which is controlled by the government of Singapore through a controlled holding, and China Shipping (Hong Kong), Co. Ltd., an affiliate of China Shipping that is also controlled by the Chinese government.
   The list of the eight carriers classified as controlled carriers by the FMC is now dominated by Asian shipping lines. Its carriers are:
   * American President Lines Ltd. and APL Co. Pte., from Singapore.
   * China Shipping Container Lines (Hong Kong) Co. Ltd., from China.
   * China Shipping Container Lines Co. Ltd., from China.
   * COSCO Container Lines Co. Ltd., from China.
   * Sinotrans Container Lines Co. Ltd., doing business as Sinolines, from China.
   * Shipping Corp. of India Ltd., from India.
   * Ceylon Shipping Corp., from Sri Lanka.
   * Compagnie Nationale Algerienne de Navigation, from Algeria.
   Back in 2000, the FMC’s controlled carrier list included two eastern European carriers — Polish Ocean Lines, of Poland, and Black Sea Shipping Co., of Ukraine. The controlled carrier legislation initially targeted former Soviet block carriers.
   Section 3(8) of the Shipping Act of 1984 defines a “controlled carrier” as: “an ocean common carrier that is, or whose operating assets are, directly or indirectly, owned or controlled by a government” taking into account the ownership of the carrier by the government or the right of the government to appoint or disapprove the appointment of a majority of the directors, the chief operating officer, or the chief executive officer of the carrier.
   “No controlled carrier subject to this section may maintain rates or charges in its tariffs or service contracts, or charge or assess rates, that are below a level that is just and reasonable, nor may any such carrier establish, maintain, or enforce unjust or unreasonable classifications, rules, or regulations in those tariffs or service contracts,” the FMC said in a statement.