Hyundai Merchant Marine (HMM) has seen a huge jump in volumes in the transpacific trade following the departure of fellow South Korean carrier Hanjin and the most recent carrier alliance shake-ups earlier this year.
Hyundai Merchant Marine (HMM) so far in 2017 has seen its container cargo volumes jump 77 percent year-over-year in the Asia-U.S. West Coast (USWC) trade lane, the company said in a recent statement.
According to PIERS Data, HMM’s Asia-USWC transport volumes rose from 7,953 TEUs per week during the first six months of 2016 to 14,055 TEUs per week by the end of June. As a result, HMM ranks fourth in market share in the trade, up sharply from 12th the previous year, the company said.
HMM’s Asia-all U.S. route cargo volumes increased 49 percent year-over-year, from 11,626 TEU per week to 17,291 TEU per week in June. The company’s market share in the total Asia-to-U.S. trade has grown to 5.8 percent, up from 2 percent last, HMM said.
HMM’s port operations at Busan Port in Korea have increased by 91 percent in June compared to the year prior, with volumes jumping from 78,039 TEUs per month to 148,950 TEUs per month. HMM said the total volumes include 76,376 TEUs of international import and export cargo, an 83 percent increase, and 72,574 TEUs of transshipment cargo, up 100 percent from the same 2016 period.
“HMM’s volume has dramatically increased, as it has regained customer trust through a successful restructuring and has expanded shipping networks through ‘2M+H strategic cooperation’ and ‘HMM+K2’ consortium,” said the ocean carrier. “We expect higher volumes in the 3rd quarter, since we’re heading into the peak season.”
HMM entered into two cooperative carrier agreements this year – one with Heung-A Shipping and Sinokor for intra-Asia trade and a transpacific vessel sharing agreement with the 2M Alliance of Maersk Line and Mediterranean Shipping Co. (MSC).
HMM was reportedly in the running to acquire the Total Terminals International LLC (TTI) terminal at Long Beach last year, but withdrew when MSC entered its bid.
However, according to a recent report from Lloyd’s List, HMM will close its Los Angeles container terminal, currently leased from APM Terminals, in order to focus on Long Beach. According to the article, only one HMM service will continue to call in Los Angeles after the carrier’s California United Terminal (CUT) facility closes at the end of August. In a banner on CUT’s website, the company says the LA terminal is no longer receiving full containers and there are no more Saturday gates.
HMM currently owns a 20 percent stake in TTI, which has facilities in Long Beach and Seattle.
HMM’s Asia-U.S. West Coast volumes rise 77% year-over-year
