Urgent call on EU to review Container shipping sector

Approximately 10 industry groups representing cargo owners and carriers, port terminal operators, and supply chain members are calling for an immediate start to review the European Union Consortium Block Exemption Rules for the containership industry. This rule exempts container shipping companies from many checks and balances of EU competition rules, exchanges sensitive information commercially, the number and size of vessels used, and voyages on trade routes around the world. Allows you to manage the frequency and timing.

“Since the last renewal of regulations in April 2020, European companies and other parties in the supply chain have caused great disruption in the movement of goods from container shipping,” the letter said. The letter added that many voyages were abruptly canceled or detoured to other ports, detouring (“skipping”) the port. At the same time, fares have more than quadrupled on many routes, only three to four times higher than in 2019 before the pandemic. “The impact of the blockade on changes in commodity production and demand due to the impact of the COVID-19 pandemic was certainly important, but the shipping industry’s ability to manage this impact collectively will be the remaining supply chain and final in 2021. “While making a total of over $ 186 billion in profits at the expense of European consumers, it shows something is wrong.” Signers wrote.

4,444 signatures

According to signers, shipping companies The advantage of the general competition law exception that arises in is “not fairly shared between shipping companies and other economies.” 4,444 signatories mention the enactment of a new shipping reform law in the United States and stronger crackdowns on unfair pricing and shipping strategies by shipping companies.

With the review of the Rule, all stakeholders will see how the Commission operates to ensure that the deep-sea containership market operates in a fair and transparent manner for all parties in the maritime supply chain. We can provide evidence and discussion about what to do. This includes consideration of new measures and mechanisms, signatories that the current regulations need to be given sufficient time to be considered and implemented before they expire in April 2024.

The 10 companies are: European Freight, Transportation, Logistics and Customs Services Association (CLECAT). European Union of Private Ports and Terminals (FEPORT); European Council of Shippers (ESC); Global Shipper Forum; FIATA International Freight Carriers Association (FIATA); International Motor Association (IAM); International for Road-Rail Vehicle Combined Transport United Nations (UIRR); FIDI Global Alliance; European Union for Inland Water Transport (EBU); European Tugowners Association (ETA).

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Source: Porttechnology.org

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Urgent call on EU to review Container shipping sector