What are Alliances in the Ocean?
Ocean alliances are groups of carriers that have agreed to pool their vessel fleet to expand their service and geographic coverage.
As of May 2018, there are three ocean alliances: alliances are strategic structures, so that every few years their configurations change.
See “Guide to Ocean Alliances” on Prime Freight’s blog for more information on each alliance.
Why are there alliances between the oceans?
Alliances enable carriers to offer fewer vessels with more sailing options. If each carrier purchased and operated the number of vessels necessary to deliver weekly sailing across each port they serve, the vessel’s capacity supply would surpass demand and container prices would drop. Carriers sharing their ships in an ocean partnership will expand their service offerings and regional reach without overwhelming the shipping market.
How do my deliveries impact ocean alliances?
The merger of new ocean alliances is likely to result in null sailing.