A collaboration between two of the world’s largest shipping companies, Hapag-Lloyd and Maersk, is set to reshape maritime logistics with the launch of their Gemini Cooperation initiative on February 1, 2025, targeting East-West trades.
Gemini Cooperation aims to deliver “a flexible and interconnected ocean network with industry-leading schedule reliability above 90% once fully phased in.”
“Teaming up with Maersk will help us to further boost the quality we deliver to our customers. Additionally, we will benefit from efficiency gains in our operations and joint efforts to further accelerate the decarbonisation of our industry,” Rolf Habben Jansen, CEO of Hapag-Lloyd, said in a statement.
Meanwhile, Maersk chief executive Vincent Clerc described Hapag-Lloyd as “the ideal ocean partner on our strategic journey,” promising customers a “flexible ocean network that will be raising the bar for reliability in the industry.”
Forsyth Barr’s head of research, Andy Bowley, indicated that New Zealand exporters are poised to experience more immediate advantages from the enhanced stability in the Red Sea, as the increase in shipping capacity is expected to lead to lower prices.
“If we start to see changes in the services, say, because the Red Sea has become a safer place to transit and go through the Suez Canal, as opposed to around the Cape of Good Hope, you may see some knock-on impacts with more capacity coming into this market and therefore lower shipping rates,” he said.
Bowley also indicated that while the alliance could enhance the reliability of shipping services and may lead to a reduction in elevated sea freight rates, these changes might result in longer delivery times.
“Increased transshipments for cargo to and from New Zealand because of Gemini’s hub-and-spoke strategy could increase delivery times. Even if the services are more reliable, they could take longer.”
Gemini Cooperation will feature a fleet pool of approximately 290 vessels with a combined capacity of 3.4 million TEUs. Maersk will contribute 60% of the capacity, while Hapag-Lloyd will provide the remaining 40%.
Moreover, as a result of its decision to join the Gemini Cooperation, Hapag-Lloyd will exit THE Alliance at the end of January 2025. Following Hapag-Lloyd’s departure, the remaining members—ONE, HMM, and Yang Ming—will possess a total capacity of 2.5 million TEUs.