Five South Korean liner operators will codeshare on services to Southeast Asia in Q2 2021, after acceding to a request by the Ministry of Oceans and Fisheries (MOF).
HMM, Pan Ocean, SM Line Corporation, Sinokor Merchant Marine & Heung-A Line signed the K-Alliance arrangement on 23 Dec 20 & the service to be launch in 2021
The liners combined market share of the South Korea-Southeast Asia route is 40%, out of the total capacity of 480,000TEU, but this is at risk because of mainline operators’ aggressive expansion.
However, MOF did not oblige the liner operators to join K-Alliance, which aims for cost savings by deploying eco-friendly modern ships, and joint usage of port facilities and containers.
The ministry said, “It’s the first attempt to form a service alliance consisting of only South Korean carriers to reap economies of scale. Other operators are welcome to join in at any time, in consultation with existing member companies.”
Issued on 27 Dec 20