CMA CGM’s Saadé Speaks on Alliance Deal
Vice Chairman of CMA CGM Rodolphe Saadé has spoken on the future of CMA CGM and its alliances with other carriers shortly after rumours began to spread of CMA CGM joining a new alliance.
Its current O3 alliance – with UASC and CSCL – dissolves at the end of 2016.
It was recently reported that French liner CMA CGM was prepared to create a new mega-alliance with a recently merged Cosco and CSCL (COSCOCS), Hong Kong-based OOCL and the Taiwanese Evergreen.
Saadé is quoted in the The Wall Street Journal as saying: “We are becoming a larger shipping line and we are in the position to select the partners with whom we want to do business.
“There are many rumours in the market about who we are talking to. In our industry everybody talks to everybody.
“We are discussing with the new China Shipping group, but we are also discussing with others.”
Rodolphe Saadé and his father and CEO of CMA CGM Jacques R. Saadé were recently at the Port of Long Beach to witness the inauguration of their 18,000 TEU ship, the Benjamin Franklin.
At the event Jacques R. Saadé outlined his commitment to trade with the US and emphasised the historic relations between France and the US, stating he believed the US economy is set for a boost soon.
Despite Saadé’s optimistic outlook, global shipping remains in a tough situation, with overcapacity running rife throughout the industry – thus inspiring alliances. What has crippled the global market more is weakening demand which has been felt especially hard in the bulk markets.