North Europe/Montreal ship capacity cut again
Shippers in the North Europe/Montreal/north Europe container trade face a potential capacity crunch after vessel-sharing agreement partners CMA CGM, Lloyd Triestino and Zim Integrated Shipping Services said they would end their weekly “Europe Canada Express” service in this trade in the next few weeks.
The joint service has employed three ships with average capacities of 1,583 TEUs, but met operational and scheduling difficulties, according to carriers.
Between February and April, CP Ships also cut capacity in one of its North Europe/Montreal loops from 2,400 TEUs to about 1,600 TEUs a week, citing poor returns in the transatlantic trade.
Zim is pulling out of the North Europe/Montreal trade. “This line’s yield is not as good as the yield on other trades,” a spokesman for Zim told American Shipper. Zim “will shift its efforts” to more remunerative trades, he added.
CMA CGM said Tuesday it would replace its involvement in the Europe Canada Express by taking slots on two other Montreal/North Europe services. It will buy space from P&O Nedlloyd on the “Canex” service calling at Antwerp and Rotterdam and from OOCL and CP Ships on their joint St. Lawrence Coordinated Service from Antwerp and Le Havre.
Lloyd Triestino has not said yet whether it will take space on other services as an alternative to their current operations, or withdraw from the trade altogether.
Last week Senator Lines, a former slot charterer on the Europe Canada Express, said it would end its North Europe/Montreal service. Lloyd Triestino’s sister company Hatsu Marine and Marfret also took space on the Europe Canada Express ships.