NYK, MOL, EUKOR & WILHEMSEN IN NEW FINES BY CHINA

• Nippon Yusen, Mitsui OSK, Kawasaki Kisen among those indicted
• Move follows similar investigations in Europe and Japan

China fined eight shipping lines 407 million yuan ($63 million) in total after finding them responsible for price collusion in the transportation of vehicles and heavy machinery.

Japan’s Nippon Yusen KK, Mitsui OSK lines, Kawasaki Kisen Kaisha and Eastern Car Liner Ltd., Korea’s Eukor Car Carriers Inc., Norway’s Wallenius Wilhelmsen Logistics AS, Chile’s Cia. Sud Americana de Vapores SA and its shipping line were the eight indicted after a year-long investigation, the National Development and Reform Commission said in a statement on its website Monday. The companies acknowledge wrongdoing, the top Chinese economic planning agency said.

The probe follows similar investigations by the European Union in 2013 and Japan’s Fair Trade Commission. Japanese regulators raided the offices of five shipping lines in 2013 over allegations they discussed raising rates together for transporting cars, and imposed fines on Nippon Yusen and Kawasaki Kisen in January 2014. AP Moeller-Maersk A/S, CMA CGM SA and MSC Mediterranean Shipping Co. were among companies in the European Union probe.

Companies’ Actions

Eukor will accept the Chinese decision and pay a fine of 284.7 million yuan, the company said in a statement on its website. The company also has implemented a competition law compliance program and corrective measures including antitrust compliance training, it said.

Eastern Car Liner "will execute what was directed immediately," said Yoshihisa Inmasu, the general manager of its general affairs department. The company will undertake stricter and more detailed legal compliance measures. Kawasaki Kisen is restructuring to carry out compliance, said spokesman Masaya Futakuchi.

Nippon Yusen has fully cooperated with the investigation by the Chinese agency and consequently received an immunity from the fine, the Japanese company said in a statement. A Mitsui OSK spokesman declined to comment.

Calls to the Shanghai and Hong Kong offices of CSAV group and Wallenius’s Asia Pacific media representative Bianca Himmelsbach weren’t immediately answered. Rainer Horne, a spokesman for Hapag-Lloyd AG, didn’t immediately respond to an e-mail sent outside regular German business hours. Hapag-Lloyd agreed last year to buy most of CSAV’s assets and become the fourth-largest container shipping company in the world.

The China investigation focused on Mitsui OSK, Kawasaki Kisen and Nippon Yusen because they controlled the bulk of the Chinese market, Bloomberg News reported in July, citing a person familiar with the matter. The person asked not to be identified because the investigation hadn’t been made public then.

In the European investigation, the EU drafted a possible deal with the companies that would spare them any immediate fines, people familiar with the case said.

BUSAN, HONGKONG, NINGBO BIGGEST PORTS IN ASIA REGION

Asia’s ports of Busan, Hong Kong and Ningbo have kept their lead in Container operation turnaround efficiency as they required shorter waiting times at anchorages as compared to the rest of top 10 container ports from around the world for October, the latest analysis from IHS Maritime&Trade shows. The analysis was based on a review of the navigation records of 4,703 full cellular container carriers, greater than 500 TEU (Twenty Foot Equivalent Unit). Even though waiting times at anchorages cannot perfectly reflect conditions of port congestion, average waiting hours per ship (AWT) serves as a useful indicator on ship turnaround efficiency at ports.

In Asia-Pacific, the top 4 ports in September held their same positions in October in terms of the total number of sailings. Singapore remains the world’s busiest port for sea-going containers. In the top 10 group, average waiting time (AWT) at Shanghai main ports, Kaohsiung and Qingdao, saw their waiting times increase that of others. Asian ports Hong Kong and Port Klang recorded increased traffic where the traffic they received increased 6.7% and 5.7%, respectively, the analysis shows.

South China’s ports Shekou, Mawan and Shantou received 10% and 20% more callings, respectively, compared to last month. Direct Berth Rates (DBR) of ports in Shenzhen like Shekou, Chiwan and Mawan and Guangzhou decreased 40% to 60% and their AWT correspondingly increased by 3 to 5 hours.

The review finds that Indonesian ports saw more containers traded with 20% and 13.2% more container ships calling at Tanjung Priok and Tanjung Perak. The other two smaller ports Belawan and Makassar each had more than 20% ships visited as well. The DBR of these four ports all improved, however, with the AWT of Tanjung Perak and Belawan at 8.3 and 6.1 hours, respectively.

Japan in general had less container trades in October, notably the Kawasaki ships seeing a reduction of 6.25%. Consequently, Japan’s DBR for its ports all increased except in Kobe.

Traffic to Laem Chabang in Thailand slumped 37%, which pushed its DBR to 54%.

In the Philippines, the daytime truck ban caused severe road congestion in Manila and caused its ports’ AWT jumped to 22.4 hours. This figure now matches that of Jawaharlal Nehru, India, where shipping traffic is still depressed and suffers from severe port congestion.

In the United States, congestion caused by labour shortages continues to be a drag on Oakland’s performance with its port AWT hitting 20.5 hours during the October month. The West Coast is also getting hit with longer waiting times with disruptions by ongoing lorry drivers’ strikes with Los Angeles experiencing a 10-hour increment in AWT to 16.1 hours, while Long Beach saw an increment of 9.4 hours to 23.6 hours.

Shipping volumes to both Spanish ports Algeciras and Valencia rose to more than 5% each. Algeciras’s AWT lowered by half to 8.5 hours, and also saw a noticeable drop in its DBR.

Compared to last month, 3.25% more ships called at Bremerhaven in Germany, which saw its AWT slightly decreased to 9.2 hours and its DBR increased 5.59%. Meanwhile the port performance at Hamburg remained flat at 9.38%, while there was increased traffic to the Ambarli port in Turkey. Felixstowe in UK increased its DBR to 72%.

Container shipping to the East Port Said, Egypt, dramatically declined by almost half, but its AWT still held above 10 hours. South African port Durban had 14.61% more traffic and its DBR increased 12.44%. African Shipping Lines operates from Shanghai, Ningbo and Nansha ports in China Direct to Mombasa, Dar Es Salaam, Mogadishu and Djibouti Ports.

In the Middle East, weather conditions were a concern for port operations in Salalah, Oman, with 7% more traffic up in October and the AWT lengthened to 24 hours. Vancouver in Canada recorded 7.81% less traffic and its DBR reached 53%. More ships called to all 4 major ports in Brazil and the volume at a country level grew to about 20%.

SWISS SHIPPING LINE RORO SERVICE TO WEST AFRICA

Lebanon-headquartered Swiss Shipping Line and Jacksonville-based Africa Car Carrier have formed a joint venture company in an effort to to strengthen their RoRo services in the U.S.

The new company, operating under the name of Blue Alliance Shipping, will combine resources and experience of the two founding companies to offer RoRo services on the U.S. East Coast. Blue Alliance Shipping’s main destination remains the west coast of Africa, with other destinations in the Mediterranean and Middle East to follow.

Next to the usual cargo handling from terminal up to delivery on quay at destination, Blue Alliance will offer real time cargo tracking. The company expects its first sailing to be by the end of this month on the Swallow Ace – V714.

SOMALIA PIRACY NO MORE

The News is: Somalia Piracy is no Longer a Threat.

The International Maritime Bureau (IMB) is out with its statistics for maritime piracy in 2015, and says there is sharp decline in the number of Somalia piracy attacks in recent years and this is a good sign for the Shipping Industry. 

The big driver of this trend is the decline off the piracy at the coast of Somalia. The IMB reports that atleast no Piracy happened in 2015 in the coast of Somalia attributing the drop to a number of factors, including “the key role of international navies, the hardening of vessels, the use of private armed security teams, and the stabilizing influence of Somalia’s central government.”

This was happening as E.U. Chair for the Contact Group of Piracy off the Coast of Somalia (CGPCS) was reported to have revised and reduced territories it deemed to be High Risk Areas (HRA) for piracy in the Indian Ocean. The revision will take effect on December 1 and reflects a decline of piracy in the region.

The revision might also reduce operating and insurance costs for vessel operators transiting the region. The HRA has previously covered most of India’s western coast and triggered increases in insurance rates that have led to a rise costs. About 70 percent of India’s international trade is by sea and about 40 percent of India’s $7 trillion GDP is generated through international trade.

The HRA was extended to India’s west coast in 2010, which brought the entire Indian Ocean into an exclusion zone. The HRA extension of the Indian Ocean meant the exclusion from annual war risk cover increased premiums for ship operators. The standard war risk insurance charge covered normal operations.

In response to rising surge of piracy in the region, the EU, China, Russia and the U.S. amongst other nations sent warships to protect the commercial shipping lanes. The increased military presence led to a steep drop in piracy. In January 2014, the International Chamber of Commerce (ICC) and International Maritime Bureau (IMB) reported that piracy in the Indian Ocean 40 percent since 2011.

http://www.ashline.net/index.htm

Many Shipping Lines have already established their offices including African Shipping Line Somalia which operates as Liner Agents.

SOMALIA PIRACY NO MORE

The News is: Somalia Piracy is no Longer a Threat.

The International Maritime Bureau (IMB) is out with its statistics for maritime piracy in 2015, and says there is sharp decline in the number of Somalia piracy attacks in recent years and this is a good sign for the Shipping Industry. 

The big driver of this trend is the decline off the piracy at the coast of Somalia. The IMB reports that atleast no Piracy happened in 2015 in the coast of Somalia attributing the drop to a number of factors, including “the key role of international navies, the hardening of vessels, the use of private armed security teams, and the stabilizing influence of Somalia’s central government.”

This was happening as E.U. Chair for the Contact Group of Piracy off the Coast of Somalia (CGPCS) was reported to have revised and reduced territories it deemed to be High Risk Areas (HRA) for piracy in the Indian Ocean. The revision will take effect on December 1 and reflects a decline of piracy in the region.

The revision might also reduce operating and insurance costs for vessel operators transiting the region. The HRA has previously covered most of India’s western coast and triggered increases in insurance rates that have led to a rise costs. About 70 percent of India’s international trade is by sea and about 40 percent of India’s $7 trillion GDP is generated through international trade.

The HRA was extended to India’s west coast in 2010, which brought the entire Indian Ocean into an exclusion zone. The HRA extension of the Indian Ocean meant the exclusion from annual war risk cover increased premiums for ship operators. The standard war risk insurance charge covered normal operations.

In response to rising surge of piracy in the region, the EU, China, Russia and the U.S. amongst other nations sent warships to protect the commercial shipping lanes. The increased military presence led to a steep drop in piracy. In January 2014, the International Chamber of Commerce (ICC) and International Maritime Bureau (IMB) reported that piracy in the Indian Ocean 40 percent since 2011.

http://www.ashline.net/index.htm

Many Shipping Lines have already established their offices including African Shipping Line Somalia which operates as Liner Agents.

NYK FINED FOR PRICE FIXING IN SOUTH AFRICA

South Africa's competition watchdog has recommended Japanese shipping firm Nippon Yusen Kabushiki Kaisha Ltd (NYK) pay a 104 million rand ($8.5 million) penalty for price-fixing and collusion in the transport of cars.

The Competition Commission said on Tuesday NYK had admitted guilt and agreed to pay the fine after an investigation into collusion involving several shipping firms. The settlement followed the commission’s investigation into the activities of the shipping companies:
 

Mitsui O.S.K Lines;
Kawasaki Kisen Kaisha;
Compania Sud Americana de Vapores;
Hoegh Autoliners Holdings;
Wallenius Wilhelmsen Logistics;
Eukor Car Carriers;
and NYK.

"The Commission found that NYK colluded on 14 tenders with its competitors for the transportation of motor vehicles by sea," competition authorities said in a statement.

The ultimate decision rests with the Competition Tribunal, which in most cases backs deals approved by the commission. Rosalind Lake, a lawyer who represented NYK in the matter, said the company was not in a position to comment until the Tribunal had ruled on the settlement. The commission found that NYK colluded on 14 tenders with its competitors for the transport of motor vehicles by sea issued by several automotive manufacturers to and from South Africa including BMW, Toyota Motor Corporation, Nissan and Honda among others. The Commission’s investigation is continuing into the activities of the rest of the companies.

The commission said it was still pursuing its investigation into other shippers of motor vehicles, equipment and machinery to and from South Africa.

($1 = 12.2186 rand)

SHIPPING RATES FROM CHINA TO AFRICAN PORTS OF MOMBASA, DAR ES SALAAM, MOGADISHU

For Current rates, Please send an email:asline@africanshippingline.ae or africanshippingdubai@gmail.com

MOGADISHU PORT CONTAINER MOVEMENT

The Port of Mogadishu has a total storage space of 95,000 square meters with a Planned storage space capacity of 112450 square meters. So far the total covered storage space is close to 20,000 square meters and the total capacity of the container storage area is for 20,000 TEU...For More Info: Please Visit http://www.ashline.net/index.htm

MOGADISHU PORT CONTAINER MOVEMENT

The Port of Mogadishu has a total storage space of 95,000 square meters with a Planned storage space capacity of 112450 square meters. So far the total covered storage space is close to 20,000 square meters and the total capacity of the container storage area is for 20,000 TEU...For More Info: Please Visit http://www.ashline.net/index.htm