FMC Commissioner Approves Amended G6 Alliance Agreement

MarineLink.com
Wednesday, April 02, 2014
Commissioner William P. Doyle: Photo credit FMC

Commissioner William P. Doyle of the U.S. Federal Maritime Commission has voted in favor of the amended G6 Alliance Agreement.  Commissioner Doyle highlighted the U.S.-Flag international trade, U.S. mariner jobs and environmental benefits.  He also pointed out concerns on some language in the amendment on how the G6 Parties may handle discussions and agreements with tug operators. An extract from the Commissioner's statement follows:   

"I am in favor of not taking any further action to delay the implementation of the amended G6 Alliance Agreement that was filed with the Federal Maritime Commission (FMC or Commission) on December 2, 2013.

The amended G6 Alliance Agreement provides for an additional 17 services. The parties intend to jointly coordinate the operation and sharing of space on about 180 - 220 container vessels with a maximum capacity of 14,000 twenty-foot equivalent units (TEUs).

The parties to the G6 Alliance are American President Lines, Ltd. (APL), Hapag-Lloyd Aktiengesellschaft (Hapag-Lloyd), Hyundai Merchant Marine Company (Hyundai), Mitsui O.S.K. Lines (MOL), Nippon Yusen Kaisha (NYK), and Orient Overseas Container Line Limited (OOCL). Furthermore, the G-6 Alliance is a vessel sharing agreement between parties of the New World Alliance (APL, Hyundai, and MOL) and the parties of the Grand Alliance (Hapag-Lloyd, NYK, and OOCL).

I have reviewed all the public comments, submitted my own questions to the G6 Parties as part of the Commission’s request for additional information (RFAI), and reviewed the G6 Parties’ RFAI responses. I am pleased that the G6 Parties have recommitted in this amended agreement to abide by the applicable laws and regulations and will maintain their separate and individual identities pertaining to sales, pricing and marketing functions. I also appreciate APL’s and Hapag Lloyd’s commitment and support to the United States with respect to jobs and the commercial ships they have registered under the U.S.-Flag. The G6 Parties have provided quality information with respect to their environmental program.

I am highlighting as a concern Article 5.9 of the amended Alliance Agreement where the Parties have added the term tug services. Tug owners and operators should be aware of the vague language in this clause. In any event, the G6 Parties must comply with all U.S. laws should they discuss and agree upon jointly contracting for tug services. The application of this provision should require special purpose monitoring.

The G6 Parties should be mindful of the antitrust probes that are being conducted in the oceanborne transportation sector – worldwide. To this end, the FMC will continue to monitor this Alliance. Specifically, the Federal Maritime Commission will be modifying its current monitoring program to reflect the new services outlined in the amendment."

The Commissioner's statement in full is at: http://www.fmc.gov/commissioner-doyle-g6-vote/

 

 

Maritime Reporter August 2015 Digital Edition
FREE Maritime Reporter Subscription
Latest Maritime News    rss feeds

People & Company News

Odfjell Reports Best Quarter Since 2008

In what it is calling its best quarterly performance since third quarter 2008, the Odfjell Group for the second quarter of 2015 reported net results of $7 million.

Great Lakes Shipyard to Build Guatemalan Harbor Tug

U.S. shipbuilding and repair yard Great Lakes Shipyard informs it has signed a contract to build another of its HandySize Class, 3,400 HP twin-screw tugboat for

BAE Systems Welcomes Record Number of Paid Interns

More than 140 university students from across the country are being given a unique insight into working life at BAE Systems, as part of the company’s 12-week summer internship program.

Legal

DP World H1 Earnings Jump, Mulls Iran launch

DP World may launch operations in Iran, the company's chairman said on Thursday, as the global ports operator reported a jump in half-year earnings after buying assets from its parent company.

IMEI Certification - Unique Achievement

For Institute of Marine Engineers of India having achieved standardisation and maintainenace of quality processes simultaneously not just at their Head Office

Wärtsilä 34DF Becoming a Trendsetter

The upgraded version of the Wärtsilä 34DF engine is rapidly becoming established as an industry standard. The three major South Korean shipyards are supporting

Workboats

Fisherman Hit by Parted Line Lifted to Safety

A fisherman struck and injured by a parted line was medevaced south of San Juan Island and transported to Olympic Medical Center in Port Angeles, Wash. Thursday morning.

Great Lakes Shipyard to Build Guatemalan Harbor Tug

U.S. shipbuilding and repair yard Great Lakes Shipyard informs it has signed a contract to build another of its HandySize Class, 3,400 HP twin-screw tugboat for

Fishing Boat Catches Fire off Maine

U.S. Coast Guard crews from Station South Portland, Maine, and Air Station Cape Cod responded to a report of a fishing boat fire Wednesday, about six miles from Jeffreys Ledge,

Container Ships

DP World H1 Earnings Jump, Mulls Iran launch

DP World may launch operations in Iran, the company's chairman said on Thursday, as the global ports operator reported a jump in half-year earnings after buying assets from its parent company.

Hapag-Lloyd Swings to Profit in H1 2015

German container carrier Hapag-Lloyd is starting to see the commercial benefits of its integration with the container shipping arm of Compañía Sud Americana de Vapores (CSAV),

Hapag-Lloyd Continues on Path for Profits

Merger with CSAV is expected to deliver $100 million higher synergies than targeted, strong operating results, significant increases in transport volume and revenue

Government Update

Oil Soars in Biggest One-day Rally in Years

Oil rocketed as much as 10 percent higher on Thursday, posting its biggest one-day rally since 2009 as recovering equity markets and news of diminished crude supplies

Great Lakes Shipyard to Build Guatemalan Harbor Tug

U.S. shipbuilding and repair yard Great Lakes Shipyard informs it has signed a contract to build another of its HandySize Class, 3,400 HP twin-screw tugboat for

US Rep. Crenshaw Visits Newport News Shipbuilding

Shipbuilder Huntington Ingalls Industries (HII) hosted Rep. Ander Crenshaw (R-Fla.) Tuesday for a tour of the company's Newport News Shipbuilding division.   Ken Mahler,

Logistics

DP World H1 Earnings Jump, Mulls Iran launch

DP World may launch operations in Iran, the company's chairman said on Thursday, as the global ports operator reported a jump in half-year earnings after buying assets from its parent company.

Rosneft, EGAS Ink LNG Supply Deal

Rosneft Trading SA, a company of Rosneft Group, and the Egyptian Natural Gas Holding Company (EGAS) signed a Master LNG Supply and Purchase Agreement. The document

RoRo Operations Start at APM Terminals Pipavav

APM Terminals Pipavav (Gujarat Pipavav Port Ltd) and NYK Auto Logistics (India) today announced the commencement of RORO operations at Pipavav Port. Ford Motors

 
 
Maritime Contracts Maritime Security Offshore Oil Pipelines Pod Propulsion Salvage Ship Electronics Ship Repair Ship Simulators Sonar
rss | archive | history | articles | privacy | contributors | top maritime news | about us | copyright | maritime magazines
maritime security news | shipbuilding news | maritime industry | shipping news | maritime reporting | workboats news | ship design | maritime business

Time taken: 0.1830 sec (5 req/sec)