Overcapacity and slowing demand on the trans-Pacific spurred CMA CGM, Maersk Line and Mediterranean Shipping Co. to postpone the launch of a third string in their their vessel-sharing agreement until second quarter 2012.
The three VSA partners originally aimed this year to begin the Jaguar service, the third string of their VSA agreement covering Asia to California, according to an announcement on MSC’s website.
The Jaguar service is the latest victim of falling trans-Pacific freight rates. Carriers in the New World Alliance suspended one trans-Pacific service earlier this month.
Hyundai Merchant Marine, APL and MOL are cutting one weekly string of vessels, each averaging 3,960 TEUs, in the Pacific Southwest service
The Jaguar Service, which was announced as part of an overall restructuring of the VSA earlier this year and planned for a start in the middle of May 2011, has already been postponed three times due to reduced demand for space from the shippers in the trade.
The Jaguar Service was scheduled to cover Shanghai - Ningbo - Los Angeles. These corridors will instead continue to be covered as part of the two already existing loops of the VSA.
The three partners continue to review the demand for space in the trade but are confident that the volume offerings in the trade can be served in full on their existing networks.