GRAND ALLIANCE LAYS UP TRANSPACIFIC SHIPS

GRAND ALLIANCE LAYS UP TRANSPACIFIC SHIPS

   Grand Alliance carriers Hapag-Lloyd, NYK, OOCL and P&O Nedlloyd are taking the unprecedented decision to lay up five large containerships as part of a plan to reduce capacity in the overtonnaged transpacific trade.

   Five of the six ships of the alliance’s South China Express weekly service will probably be laid up in Asia, while the service is discontinued from December until some time next spring.

   NYK Line said it “will temporarily adjust deployment in the transpacific during the upcoming winter months in view of the recent downturn of cargo volume.”

   The South China Express, which utilizes six ships of about 5,000-TEU capacity, calls at Singapore, Laem Chabang, Hong Kong, Kaohsiung, Los Angeles, Oakland and Kaohsiung.

   While the Grand Alliance lines are withdrawing one of their five Pacific Southwest services, they will continue to offer a service from the ports of the former South China Express service.

   The weekly Far East Express service will be revised to incorporate an additional call at Laem Chabang and Kaohsiung, but will omit Xiamen and Yantian. One ship will be added to the FEX service.

   The Japan California Express service will additionally cover Xiamen, but will stop calling at Hakata westbound.

   The Singapore Shuttle Express service will continue to call at Singapore, one of the ports of the former South China Express loop.

   The last South China Express sailing will be that of the “Sandra Azul,” from Kaohsiung on Nov. 28.