The Last 20 Years Progression of Asia-Europe Carrier Alliances

Number of Providers

Grand Alliance Global Alliance 1996 Tricon-Hanjin HMM Hapag-Lloyd Nedlloyd Maersk K Line DSR-Senator Evergreen OOCL MSC CMA COSCO NYK MISC 23 Sea-Land Yangming Choyang LLoyd Triestino NOL Norasia Hanjin APL P&O MOL

Grand Alliance Global Alliance 1997 CYK Consortium Hapag-Lloyd Nedlloyd Maersk MSC COSCO Evergreen OOCL HMM CMA NYK MISC 20 Sea-Land Norasia K Line LLoyd Triestino NOL Yangming APL P&O MOL

Grand Alliance New World 1998 CKY Consortium United Alliance Hapag-Lloyd Alliance COSCO Choyang NYK Maersk MSC Norasia Evergreen APL 21 Sea-Land CMA K Line Hanjin-Senator LLoyd Triestino OOCL MOL Yangming UASC MISC P&O Nedlloyd HMM 1999-2000 Grand Alliance New World Maersk- CKY Consortium United Alliance Evergreen-LT Hapag-Lloyd Alliance Sealand COSCO Choyang NYK MSC Norasia APL 19 Maersk acquired CMA CGM K Line Hanjin-Senator OOCL MOL Sea-Land Yangming UASC MISC P&O Nedlloyd HMM

United Alliance Grand Alliance New World

2001 CKY Consortium CSCL Hanjin-Senator Evergreen-LT Hapag-Lloyd Alliance COSCO NYK Maersk- MSC CMA CGM UASC APL 20 Sealand Zim K Line CSAV Norasia OOCL MOL Yangming Choyang Bankrupt MISC P&O Nedlloyd HMM 2002-2004 Grand Alliance CKYH Alliance Evergreen-LT New World CSCL COSCO Hapag-Lloyd Alliance NYK Maersk- MSC CMA CGM UASC K Line APL 20 Sealand OOCL Zim Yangming MISC MOL Hanjin-Senator CSAV Norasia P&O Nedlloyd HMM

CKYH Alliance Grand Alliance New World 2005 Maersk- CSCL Evergreen-LT COSCO Hapag-Lloyd Alliance Sealand MSC CMA CGM UASC K Line PIL-WHL NYK APL 21 P&O Nedl- Zim Yangming OOCL MOL loyd Hanjin-Senator CSAV Norasia MISC HMM 2006-2009 CKYH Alliance CSCL Evergreen Grand Alliance New World Maersk COSCO Hapag-Lloyd Alliance K Line NYK APL 20 Maersk acquired MSC CMA CGM UASC PIL-WHL P&ONL Zim Yangming OOCL MOL Hanjin-Senator CSAV Norasia MISC HMM

CKYH Alliance Grand Alliance New World

2010 Evergreen CSCL COSCO Hapag-Lloyd Alliance K Line NYK APL Maersk MSC CMA CGM UASC Yangming OOCL 17 Zim Hanjin MOL HMM

CSCL CKYH Alliance New World 2011 Grand Alliance UASC COSCO Hapag-Lloyd Alliance Maersk MSC CMA CGM K Line Evergreen APL 17 Zim NYK MOL Yangming OOCL Hanjin HMM 2012-2014 CKYH Alliance G6 COSCO APL MSC CSCL Hapag-Lloyd Maersk Zim K Line Evergreen HMM 17 CMA CGM UASC Yangming MOL NYK Hanjin OOCL 2015-2016 CKYHE Alliance G6 Ocean 3 APL 2M COSCO CMA CGM Hapag-Lloyd Maersk HMM CSCL K Line Evergreen 16 MSC Yangming MOL UASC NYK Hanjin OOCL

OCEAN Alliance The Alliance 2017 CMA CGM acquired APL 2M HMM slot charter CMA CGM Hapag-Lloyd COSCO merged with CSCL Hapag-Llloyd to acquire UASC Maersk to K-Line Maersk COSCO Hanjin files for bankruptcy KL/MOL/NYK to form JV in 2018 12 acquire HS MOL MSC Evergreen Cosco to acquire OOCL NYK OOCL Yang Ming

www.pfe-express.co.uk T +44 (0)1376 533000 In the last 20 years there has been huge consolidation within the Container Shipping Industry. Just looking at the Asia to Europe trade we have seen the number of carriers reduce from 23 to what will become 9 in 2018. Those 9 carriers will be operating within only 3 Alliances.

What has caused this? The market and industry over the last few decades has been extremely fragmented and as a result suffered from considerable price volatility. The larger carriers have been able to benefit from economies of scale unlike the smaller carriers who have not. This has led to a number of mergers and acquisitions.

What does it mean for today’s market? Fewer, more financially robust, service providers should mean greater stability in service offerings and less volatility in market rate levels. This will avoid the ‘boom and bust’ scenarios we have seen over recent years. There are still fluctuations in transits and service quality presently after the transition of alliances in 2017. However this variance is settling down and will stabilise even further as we enter 2018.

What does PFE do? We work with strong reliable partners who offer the fastest and most flexible services supported with space commitments to our customers. These factors combined with our absolute determination to provide the best service levels possible continue to ensure we are well placed to work with you to meet your importing needs.