Major Changes in Shipping Alliances Set to Transform Liner Industry

In just two weeks, the liner shipping industry is set to undergo its most significant shake-up in a decade as companies make changes to their partnerships on major east-west voyages. The Ocean Alliance, composed of COSCO, OOCL, CMA CGM, and Evergreen, is expected to have the largest market share and widest market coverage after several other alliances dissolve. According to Linerlytica, the Ocean Alliance will be the only group left standing on February 1st, solidifying its dominance in the industry.

Competitor Alphaliner reports that the Ocean Alliance will have approximately 390 container ships in operation with a nominal capacity of nearly 5 million TEU. Meanwhile, THE Alliance will soon be rebranded as Premier Alliance, with MSC stepping in to fill the gaps on Asia-Europe routes, and Ocean Network Express (ONE), HMM, and Yang Ming Marine Transportation as new partners. Hapag-Lloyd will leave THE Alliance to join the Danish airline in the Gemini collaboration after MSC’s departure from Maersk under the 2M ship-sharing agreement.

Linerlytica predicts that the Ocean Alliance will have a dominant position on the transpacific route with 15 voyages to the West Coast and eight to the East. The addition of a seventh route will also give it extensive coverage to Northern Europe, rivaling that of MSC. Moreover, MSC will maintain its status as the top airline in the Mediterranean with six weekly departures, according to Linerlytica data. As the industry braces for these transitions, experts are closely monitoring how the alliances will adapt, especially considering the ample time they’ve had to prepare for the changes.

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