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U.S. OPPOSES OECD LIMITS ON CARRIERS’ RATE-SETTING, ANTITRUST

U.S. OPPOSES OECD LIMITS ON CARRIERS’ RATE-SETTING, ANTITRUST

   The U.S. Department of State has warned the Paris-based Organization for
Economic Cooperation and Development that attempts to limit ocean carriers’
antitrust immunity would be premature and counter-productive.
   After more than three years of debate, the U.S. has reaffirmed antitrust
protection for liner shipping with the enactment of the Ocean Shipping
Reform Act, the State Department said.
   Furthermore, the House Judiciary Committee examined the issue in May and
found no reason to act against antitrust immunity. Rather, the committee
said it would continue to monitor international shipping, the State
Department said.
   Antitrust immunity hasn’t resulted in excessive freight rates, inhibited
new shipping lines from entering into the international shipping market,
nor stifled technical innovation, the department said.
   Ending the right of carriers to collectively set rates and voluntary
rate guidelines could discourage investment in liner shipping and lead to
increased government intervention in the setting of rates, the State
Department said.