MSC Announces Independent Transatlantic Rate Restoration

Mediterranean Shipping Company announced that it will implement a rate restoration on the westbound North Europe-to-North America trade. The Geneva, Switzerland-based cargo steamship line notes that in view of actual market situation, depressed rates and increased costs, the company will proceed with an independent rate restoration that will increase all tariff rates and service contracts by a minimum of $300 per container. This adjustment will go into effect at the latest by January 1, 2007. MSC states that it has not been exempt from recent market developments that have caused rate levels to deteriorate to unsustainable levels. At the same time, the company is faced with increased cost pressures that require an immediate adjustment in order for MSC to maintain the quality service levels it provides to its customers. This rate restoration is independent from MSC’s partners in the Trans-Atlantic Conference Agreement (TACA) which include Atlantic Container Line AB (ACL), NYK Line, Orient Overseas Container Line (OOCL) and Maersk Line.