Asia/Pacific News
P3 Alliance "Not a Threat" to Chinese carriers
The P3 alliance of the world's three largest container carriers is not a threat to Chinese carriers if it follows rules set for the industry, Zhang Shouguo, vice president of the Chinese Shipowners' Association (CSA) told industry news site ShippingWatch.
"Alliances are a common practice in the container industry," he said.
"If the P3 alliance complies with the rules, works to reduce the costs, and doesn't have a negative effect on the competition, we won't be against it.
"The problem arises if it turns out that P3 takes over control of the industry."
Some industry sources have said that Chinese competition authorities may not approve the alliance, which consists of Maersk Line, Mediterranean Shipping Co. (MSC), and CMA-CGM, since it could be seen as a threat to unallied Chinese carriers.
Chinese regulators will meet with their counterparts from the U.S. and the European Union (EU) in the U.S. in December to discuss P3.
U.S. regulators have said the "unprecedented size" of the alliance raises concerns that it could reduce competition and limit services for customers.
