Maersk says it remains committed to transpacific

Ends slot exchange with Evergreen, but will have six Asia-U.S. strings and slot deal with APL.    Maersk Line says it wants to “continue playing a critical role in the supply chain of our customers on the trade” in the transpacific.
   The carrier made the comment in its Weekly Highlights customer newsletter as it announced the end of two transpacific services next month.
   Maersk said it decided to end the two services after taking a detailed look at the economics of the trade.
   “This by no means suggests our commitment to the transpacific trade has wavered,” Maersk said. “In fact, we see it very much the opposite. As we look toward to the future, we want to continue playing a critical role in the supply chain of our customers on the trade.”
   Maersk’s new deployment next year includes four transpacific strings to the U.S. West Coast and two services from the Far East to the U.S. East Coast via the Suez Canal.
   On Jan. 1, the carrier will cease offering its direct Taiwan Express service from Kaohsiung and Taipei to Los Angeles and Oakland; on Jan. 15, it will end its current U.S.-flag TP5 service but will replace it with a new version.
   The Taiwan Express service consisted of chartered space on Evergreen’s TPS route. According to the slot-exchange agreement on file with the with the U.S. Federal Maritime Commission, Evergreen provided 250 TEUs or 2,500 tons, whichever is reached first on each sailing of its TPS service, and Maersk provided Evergreen with 250 TEUs or 2,500 tons, whichever is reached first, on each sailing of its TP5 string, which Maersk announced last week that it will terminate on Jan. 1.
   Maersk’s TP5 service used six ships, including four U.S.-flag vessels. After the first of the year, the company will charter space from APL’s CC3 service to offer U.S.-flag service. According to its slot-exchange agreement with APL, Maersk will purchase 400 TEUs or a maximum of 3,000 metric tons of space per sailing, including 35 refrigerated container plugs westbound and eastbound on the CC3 service between the U.S. West Coast and Asia.
    In addition, APL and Maersk will exchange space on Maersk’s MECL 1 service and APL’s AZX service. They will exchange 330 TEUs or a maximum of 2,475 metric tons per sailing (including 35 reefer plugs) from the U.S. to the Middle East and space for 50 TEUs or a maximum of 375 metric tons per sailing including 5 reefer plugs from the Middle East and Sri Lanka to the United States.
   The carriers can also buy and sell slots on an ad hoc basis from each other.
   Maersk told customers that “long-standing downward pressure on profitability in the transpacific represents a serious risk to service levels. We will not take the lead but rely on the Transpacific Stabilization Agreement to address the profitability challenge to the benefit of all stakeholders.”