“K” LINE, COSCO CONSIDER BIGGER SHIPS ON ATLANTIC

“K” LINE, COSCO CONSIDER BIGGER SHIPS ON ATLANTIC

“K” LINE, COSCO CONSIDER BIGGER SHIPS ON ATLANTIC

   “K” Line and China Ocean Shipping Co. are considering introducing larger containerships in the transatlantic trade and have filed amendments to their vessel-sharing agreement with Yangming Marine that would allow them to do so.

   “K” Line, COSCO and Yangming run two joint U.S./northern Europe weekly services, one with ships of about 3,200 TEUs capacity and the other with 2,100-TEU vessels. They also have a vessel-sharing agreement on the trade between the United States and the Mediterranean that employs ships of about 2,200 TEUs.

   COSCO and “K” Line have filed revised agreements with the U.S. Federal Maritime Commission that extend the termination date of one agreement to Oct. 31, 2002; provides for five additional container vessels to be deployed by the parties; and provides for an increase in vessel load capacity from 2,000 TEUs to 3,500 TEUs.

   However, “K” Line (Europe) said it has no plan to add ships, nor upgrade vessel sizes in the transatlantic trade. Those revised agreements are technical filings that would allow the carriers to expand their services if needed, a “K” Line executive said.