Maersk muscles in on COSCO’s intra-Asia crown
Maersk Challenges COSCO in Intra-Asia Shipping
In a significant shift within the container shipping landscape, Maersk has made substantial gains in the intra-Asia trades, positioning itself as a formidable competitor to industry leader COSCO. Recent data from Alphaliner reveals that the Danish shipping giant has expanded its capacity by 100,000 TEU over the past year, now trailing COSCO by just a few thousand slots. This surge in capacity highlights the growing importance and competitiveness of the intra-Asia market, which remains the world’s largest container shipping arena.
Growth Driven by Cooperation and Market Demand
The remarkable growth of Maersk and its Gemini Cooperation partner, Hapag-Lloyd, can be attributed to strategic collaboration that has enabled both companies to enhance their regional service offerings. According to Alphaliner’s latest report, this partnership has allowed them to operate significantly more regional shuttles within Asia, aligning with their ‘hub and spoke’ operational model. Hapag-Lloyd, in particular, has seen its capacity nearly double by August 2024, reflecting the robust demand in this sector.
Meanwhile, Singapore-based Pacific International Lines (PIL) leads the capacity increase race, boasting an impressive 116% growth. The intra-Asia trades encompass a vast network connecting China, Japan, Korea, ASEAN nations, and the Indian subcontinent. This market not only surpasses the transpacific and Asia-Europe trades but is also projected to continue its upward trajectory. Current estimates suggest that the intra-Asia market handles over 60 million TEU annually, a figure that could soar to 80 million TEU within the next decade, driven by ASEAN’s promising economic growth, India’s rising manufacturing capabilities, and China’s evolving role in global trade.
As the intra-Asia market expands, shipping companies are positioning themselves to capitalize on the increasing demand, making this a pivotal moment in the container shipping industry.
