Slower growth in global trade and increasing political and economic uncertainty have ratcheted up risk for the Caribbean’s transshipment port operators following the expansion of the Panama Canal. Jennifer P. Roig from InfraLatinAmerica asks industry experts which operations are likely to appeal to lenders
The owners of the Hamburg Süd Group have announced their intention to sell the Company to Maersk Line A/S. Subject to the required regulatory and shareholder approvals the transaction will be concluded at the end of 2017 at the earliest. This is a very important decision in the 145 year history of the Hamburg Süd Group which should be seen positively for the following reasons:
- Through this transaction the Hamburg Süd Group brands will gain access to the scale and network of Maersk Line A/S to ensure a continued high-quality and sustainable service to its clients in a very competitive industry;
- Hamburg Süd will be able to expand and grow as part of Maersk Line A/S and will continue being a reliable and sustainable partner for its business partners.
The agreement, following a recent wave of consolidation in the industry, will leave only 13 global companies (most of them with cargo-sharing agreements) compared to 20 at the beginning of the year, of which Maersk-Hamburg Sud would control almost 20% of the world market. In the case of Brazil would be 80% of the market, according to analysts.
The completion of the Panama Canal expansion; and the recent bankruptcy of Hanjin Shipping are the two seismic events of the decade. Ocean carriers APL and MSC join port operator PSA to assess the effects cascading through the global supply chain.
Highlighted the crisis of port industry as a result of the static of the foreign trade and therefore of the containers movement, warning about the oversizing of the sector during times of crisis that has led to failures such as Tecplata in Argentina and La Union in El Salvador.