World News
Maersk Line: Confident 2M Alliance Will Bring $350m of Savings
Maersk Line believes that, seven months into its new adjusted 2M alliance with the Mediterranean Shipping Company S.A. (MSC), the company will be successful in showing the $350 million savings it had projected, Shipping Watch reports.
While the calculation of realised savings from the increased efficiency resulting from the alliance is said to be quite complicated, including considerations of dropping oil prices and their implications on bunker prices, Maersk Line is said to be "confident" that the intended savings have already been achieved.
"The first quarter this year was very much focused on implementing 2M, and we had many balls in the air. In the second quarter we were better able to understand the effect, and to ask the question of whether we've delivered in terms of the $350 million," said Søren Skou, CEO of Maersk Line.
“We're still doing the math, but my impression is that we've achieved the savings we aimed for.”
The official results are to be presented by Maersk Line on September 9, 2015 at the Maersk Capital Markets Day in Copenhagen.
On Monday, Ship & Bunker reported that Maersk Line announced its net profit in 2015's second quarter was down 7.3 percent year-on-year to $507 million, citing plunging freight rates on the Asia-Europe trade, but promising to hold their lead position in the global container shipping market.
In June, Mario Cordero, chairman of the U.S. Federal Maritime Commission (FMC) said global maritime regulators have found no evidence of price fixing in freight rates among the biggest players in container shipping
Key Bunker Prices More
| VLSFO | MGO | |||
|---|---|---|---|---|
| $/mt | +/- | $/mt | +/- | |
| Singapore | 548.00 | 0.50 | 677.50 | 2.00 |
| Rotterdam | 513.00 | 0.50 | 649.00 | 3.00 |
| Houston | 544.50 | 2.50 | 675.00 | 4.00 |
| Fujairah | 541.50 | 2.50 | 744.00 | 3.50 |
| Global 20 Ports Average | 572.00 | 2.50 | 758.00 | 2.50 |
| Global 4 Ports Average | 536.50 | 1.50 | 686.50 | 3.00 |
| Global Average Bunker Price | 624.00 | 2.50 | 801.00 | 3.50 |
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