Peter T. Leach, Senior Editor | Aug 03, 2012 9:09AM EDT
APL said Friday it is no longer providing chassis as part of its container transport services in Denver and Salt Lake City.
The Singapore-based carrier said the decision to get out of the chassis business in the two western U.S. cities is the first phase of its plan to withdraw from chassis provisioning throughout the U.S. In the future, motor carriers will provide chassis as part of their drayage services.
APL is one of the last ocean carriers to make the decision to exit the business of providing chassis as it tried to expand its market share by continuing to provide full service. But in the end, like other carriers, the need to cut costs forced it to phase out of the chassis business. APL announced in February that it would stop providing chassis at most U.S. inland terminals in 2012.
The move will extend elsewhere in the U.S. in 2013.
APL said that in Denver and Salt Lake City truckers would have the option of obtaining chassis from global leasing company FLEXI-Van and other chassis providers.
“We have been working diligently to assure that the transition to a different chassis provision model is as seamless and as convenient as possible for our customers and their truckers,” said Gene Seroka, APL Americas president.
Shipping lines operating in the U.S. have historically managed chassis fleets, making chassis available to truckers hauling containers. APL said motor carriers are in a better position to efficiently use chassis in their operations.
Contact Peter T. Leach at pleach@joc.com. Follow him on Twitter @petertleach.