Time to look at Intra-Americas trade again

By Patrick Burnson, Executive Editor
May 13, 2014 - LM Editorial

With so much attention now being placed on trade agreements with the EU and in the transpacific, shippers may wish to take a fresh look at what one leading ocean cargo carrier is doing within the parameters of the existing North America Free Trade Agreement (NAFTA).

Starting early next year, the resurrected U.S. carrier, SeaLand, will be coming back under the auspices of Maersk Line to serve existing Intra-Americas service network. This will also shift the logistics weight to the Caribbean Basin in anticipation of the Panama Canal expansion. SeaLand was aquired by Maersk Line in October 1999.

“This reorganization is an investment in our global container business. It enhances and strengthens service in this important and growing trade region, as well as the future of our overall global service network,” says Vincent Clerc, chief trade & marketing officer, Maersk Line.

Analysts say that the Caribbean Basin Partnership Act – which was broadened more than a decade ago – may eventually be replaced by a “Free Trade Area of the Americas” act.

Russell Held, Director of Economic Development for The Port of Virginia, and a former SeaLand executive, says the trend for near-shoring is gaining traction – with a great focus on ocean carrier reliability.”

Indeed, Maersk Line’s existing Intra-Americas service network will be the foundation for SeaLand. Industry analysts contend that the new U.S. subsidiary will have similar structure to Maersk Line’s other regional carriers – including intra-Asia carrier MCC Transport and intra-European carrier Seago Line.

SeaLand will feature local sales and support personnel located in North, Central, and South America, as well as the Caribbean, to service customers throughout the region.

The new, independent unit will officially start operating next January. Meanwhile, Maersk will begin the transition of its Intra-Americas business to SeaLand in a phased approach throughout the remainder of this year.



About the Author

image
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 .(JavaScript must be enabled to view this email address).


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!

Recent Entries

Of special interest to readers of Logistics Management will be “Americas Update,” which will look into the future of the market in the Americas and assess how firms will be able to favorably position themselves to compete and win market share.

After 20 years, two congressional mandates and countless lawsuits and lobbying efforts, safety advocates and the Teamsters union still say there are too many inexperienced rookie truck drivers hitting the road without sufficient behind-the-wheel training.

Congested U.S. port terminals, harbor and over-the-road truck and driver shortages, slower trains and longer rail terminal dwell times due to increased domestic rates have not only disrupted service but also driven intermodal rates and cargo handling costs up sharply.

Southern California shippers are getting a break on container dwell expenses for the next ten days as the Port of Long Beach announced that it had added an extra three days to the time that overseas import containers can remain on the docks without charge.

The long-simmering court battle over whether FedEx Ground’s workers are independent contractors or employees appears headed to the appellate courts—and maybe the U.S. Supreme Court.

Article Topics

Blogs · Container · Ocean Cargo · Logistics · All topics

About the Author

Patrick Burnson, Executive Editor
Patrick Burnson is executive editor for Logistics Management and Supply Chain Management Review. Patrick covers 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. Contact Patrick Burnson

Comments

Post a comment
Commenting is not available in this channel entry.


© Copyright 2013 Peerless Media LLC, a division of EH Publishing, Inc • 111 Speen Street, Ste 200, Framingham, MA 01701 USA