According to local media, South Korea’s shipping companies are ready to establish an in-country shipping league in order to represent the country in the global container shipping industry following the bankruptcy of Hanjin Shipping.
Before Hanjin Shipping was one of the largest and the most progressive carriers in South Korea. It was ranked the 7th in the world’s list. It had lasted till the company’s collapse in August 2016.
As South Korea’s source Pulse News said, the formation of the alliance will be officially declared on August 8 and it will become known as Korean Shipping Partnership (KSP). Korea Shipowners’ Association will cope with all administrative duties of the alliance at least in the first instance.
The alliance of KSP involves the joining of 14 carriers of South Korea, of which Hyundai Merchant Marine – number 15 among the largest container lines in the world.
“According to the terms of the contract, they will achieve a cooperation to boost their consolidated efforts with inculcating of various measures, such as raising the capacity of the joint cargo, discovering new carrier’s route and collective management of foreign terminals”, – is written in the article.
Three the largest Japanese container lines – K Line, MOL, and NYK – also proclaimed a domestic alliance. The union is known as Ocean Network Express (ONE) and it will get a handle on a total capacity of about 2 million TEU. These conditions could cover ONE as the sixth in the world ranking. The Ocean Network Express will set going on April 1, 2018.
