Maersk pledges to tighten its supply chain

"A daily service between Asia and North Europe with reliable on-time delivery will change liner shipping forever,” spokesmen in Copenhagen declared.

By ·

Following its promise to be more collaborative with shippers, Maersk Line is introducing a time-definite service in the booming Asia-EU trade lane.

“A daily service between Asia and North Europe with reliable on-time delivery will change liner shipping forever,” spokesmen in Copenhagen declared. “Up until now, customers have had to adjust their production schedules and supply chains to accommodate shipping lines’ unreliability, as they have never been able to trust that their cargo would be on time.”

This will be thing of the past, Maersk promised, noting that the engine behind Daily Maersk is 70 vessels operating a daily sailings between four ports in Asia (Ningbo, Shanghai, Yantian and Tanjung Pelepas) and three ports in Europe (Felixstowe, Rotterdam and Bremerhaven) in what amounts to a giant “ocean conveyor belt” in the carrier’s busiest global service.

In a speech given last June at a major EU logistics event, Maersk Line CEO, Eivind Kolding said the container shipping industry stands on the brink of an “era-defining moment” as it faces fundamental challenges. He added that if container the shipping industry is to secure its right to operate in the future, the industry needs to change now.??

This latest announcement seems to reflect that attitude, said analysts. Zim Line has been ramping up its premium service in the trade lane, as well.


At the same time, however, Maersk and other carriers may soon be holding shippers accountable for freight that is promised, but does not appear. So-called “phantom bookings,” may be countered with a surcharge to compensate for lost revenue on any given voyage.

This, said one analyst, must be exercised with caution:

“Maersk has every right to demand such an arrangement,” said Charles Clowdis, Jr., managing director-transportation advisory services, at IHS Global Insight. “But until capacity is controlled or withdrawn, it’s going to be tough to enforce.”


About the Author

Patrick Burnson, Executive Editor
Patrick Burnson is executive editor for Logistics Management and Supply Chain Management Review magazines and web sites. Patrick is a widely-published writer and editor who has spent most of his career covering international trade, global logistics, and supply chain management. He lives and works in San Francisco, providing readers with a Pacific Rim perspective on industry trends and forecasts. You can reach him directly at [email protected]

Subscribe to Logistics Management Magazine!

Subscribe today. It's FREE!
Get timely insider information that you can use to better manage your entire logistics operation.
Start your FREE subscription today!

Article Topics

All Topics
Latest Whitepaper
The Essential Guide to High Value, Low TCO WMS on the Fast Track
A warehouse could become your weakest link if you can’t execute with speed and accuracy. Your bottom line will be negatively impacted, so will your customer’s experience, and they are only one click away from buying from your competitors!
Download Today!
From the November 2017 Logistics Management Magazine Issue
An inside look at how a large pharmaceutical firm transformed its vendor and supplier relationships into true, collaborative partnerships—and greatly strengthened its logistics and supply chain operations in the process.
34th Annual Quest for Quality Awards: 2017 Awards Dinner
Trucking Regulations: Washington U-Turns; States put hammer down
View More From this Issue
Subscribe to Our Email Newsletter
Sign up today to receive our FREE, weekly email newsletter!
Latest Webcast
Make Your Products Smarter in the Supply Chain with the IoT
This webinar explores how temperature-sensing smart labels and inexpensive NFC tags are being used to extend product safety and efficiency beyond the shipping dock while also building a communication bridge to your customers.
Register Today!
EDITORS' PICKS
2017 NASSTRAC Shipper of the Year: Mallinckrodt; Mastering and managing complexity
An inside look at how a large pharmaceutical firm transformed its vendor and supplier relationships...
2017 Alliance Awards: Recognizing outstanding supply chain partnerships
In an era where effective supply chain collaboration is both highly valued and elusive, Logistics...

26th Annual Study of Logistics and Transportation Trends: Transportation at Digital Speed
While a majority of companies strongly agree that transportation is a strategically important...
34th Annual Quest for Quality Awards: Winners Revealed
Which carriers, third-party logistics providers, and North American ports have crossed the service...