Carriers hunt for market share as crisis co-operation fades

THE recovery in container shipping has resulted in a scramble for market share again, as several carriers increase capacity, while others settle for a smaller slice of the pie.

Of the leading 25 operators, 15 have expanded their available space, while the remaining 10 have reduced capacity. Aggregate tonnage for the group has increased by five per cent over the past year, reports Paris-based Alphaliner.

CSAV recorded the biggest rise in capacity during the 12-month period at 46 per cent, or 132,000 TEU, in addition to which, the Chilean line has no idle tonnage. Overall market share for the company now stands at three per cent, up from 2.1 per cent previously, raising its status from 16th to 10th in global carrier rankings.

The increase in CSAV's capacity would not have been possible, however, were it not for the US$773 million in bailout funds from shareholders and a consortium of German owners led by Peter Doehle.

Both the rescue and the company's subsequent capturing of market share have rankled some competitors, in particular Hamburg Sud, which is said to have cut-off its relationships with banks that had assisted in the raising of funds.

Other carriers likely to expand their market share in the near future include Hong Kong-registered TSL and Singapore's APL, the former of which is aptly positioned to take advantage of increased cross-strait trade, while the latter is due to reactivate all of its remaining idle tonnage within the next two months.

(Source: www.schednet.com)