USL-ANL shakes up South Seas services post CMA CGM takeover

2008-1-17

US Lines (USL) and ANL have announced a major realignment of their service structure in three key trade lanes in which their alliance operates.

The move comes after French shipping group CMA CGM announced last month that it had reached an agreement to acquire California-based US Lines, the vessel sharing partner of ANL, which as a subsidiary of the CMA CGM group focuses on the Australian-New Zealand market. Both lines will continue under their own names.

"The acquisition of US Lines is in line with the aim of reinforcing the position of the ANL offer. The complementarity of US Lines with ANL allows a more global solution on the triangular trade connecting the US west coast, Australia, New Zealand and southern China," a USL statement said.

As part of the service reconfiguration of USL and ANL, the carriers will cease to operate their existing Triangle Service around the Pacific Rim from next month.

The carriers will instead commence a dedicated north/south service from the US west coast ports of Oakland and Los Angeles to and from Australia and New Zealand. As a result, the ships deployed on the joint Australasia service of USL and ANL will turn northbound from Australia and New Zealand.

"This initiative will improve northbound transit times from Australia, and will for the first time offer a competitive alternative to exporters from New Zealand to the US west coast," a USL statement said.

The US west coast to Australia and New Zealand service is scheduled to begin on February 2 with the departure of the Eagle 2 from Melbourne. The new port rotation will be: Melbourne, Sydney, Brisbane, Tauranga, Auckland, Oakland, Long Beach.

On the other hand, southbound transit times, departure and arrival dates, and cut-off times will remain as they are, the release said.

The eastbound service will also be kicked off with the February 2 sailing of the Eagle 2 from Melbourne. "Trade between Australia and New Zealand is robust and both ANL and USL customers will benefit," the statement said.

As a result of the initiation of the north/south service, USL and ANL said they will transfer their transpacific volumes aboard CMA CGM's Pearl River Express service, starting from mid-February.

USL estimates it generated revenue of US$145 million in 2007, moving 100,000 TEU annually. The company uses chartered ships and employs 113 workers at offices in Los Angeles, Australia, New Zealand and Hong Kong.

Source: schednet
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