[190212.EN.SEA] FMC Says US Container Trades Unaffected By EU Shipping Conference Ban

THE Federal Maritime Commission (FMC) has published its "Study of the 2008 Repeal of the Liner Conference Exemption from European Union Competition Law" and said that "the repeal of the block exemption does not appear to have resulted in any negative impact on US liner trades" through 2010.

Conclusions were drawn after canvassing 15 carriers, two shipowner groups and one logistics and transportation consultant. Opinions of shippers were sought, said the FMC, but none responded.

The study was launched to see whether the EU's repeal might cause freight rate reductions in EU liner trades in comparison with its US counterpart by looking at changes in container rates from 2008 to 2011 in the US-transatlantic, Asia-Europe and transpacific trade lanes.

Its initial findings indicated the US shippers are not partially treated, so there is no evidence that the law is in EU shippers' favour. It said rates "declined to the same degree in both US and EU import trades," and "increased to a similar degree in both US and EU export trades being compared." However, the study recommended further review of trends following the 2006-2010 time period examined.

Said FMC chairman Richard Lidinsky: "We hope the study will provide a sound, fact-based point of reference for policymakers examining liner shipping regulatory regimes both here and abroad."

The FMC is an independent federal agency responsible for regulating the US international ocean transportation.

Source : HKSG.