Two of the world’s largest shipping lines – AP Møller-Maersk (OTCPK: AMKBY ) (OTCPK: AMKAF ) and Mediterranean Shipping Co. – said on Wednesday it will terminate its 2M fleet sharing agreement in 2025, a move by S&P. Global Platts says it will shake up the shipping market with possibly starting a price war.
The decision to terminate the 2M contract comes as shipowners are facing a decline in cargo volumes and the number of vessels that have lowered freight rates to pre-COVID levels, which has changed the power supply for 2M customers and other major corporations.
In a joint statement, executives from Maersk (OTCPK: AMKBY ) (OTCPK: AMKAF ) and MSC said much has changed since the 10-year agreement was signed in 2015, and the end of the agreement “provides an opportunity for both companies to continue following their individual strategies.” “
Maersk (OTCPK:AMKBY) (OTCPK:AMKAF) is committed to “accelerating as an integrated service provider, connecting, and simplifying the supply chain for our customers,” as MSC has built its fleet to reach Maersk’s total operating fleet.
AP Mills-Maersk (OTCPK:AMKBY) (OTCPK:AMKAF) recently named Vincent Clerc as its new CEO.