The Gemini Cooperation Alliance – featuring Maersk and Hapag-Lloyd – will officially set sail, after receiving the ‘greenlight’ from the Federal Maritime Commission. Official operational services from this alliance are slated to begin in February 2025 when both ocean carriers leave their respective current partnerships.
This new alliance will undergo rigorous monitoring by the Commission. As the FMC has noted, all parties involved in alliance agreements must comply with the specified monitoring conditions and requirements and carrier alliance agreements will be closely examined and continuously overseen by the FMC, with the monitoring starting now.
Back in July, the FMC issued a statement which asked both ocean carriers to provide additional information about how Gemini would work, and the FMC would determine the potential competitive impacts of the partnership.
The FMC uses the RFAI process to identify and achieve clarity on matters that were not addressed by the filing parties or where insufficient information was provided in the originally filed agreement.
Revised Network Schedules
Recently, both ocean carriers released (separate) statements noting what their revised network schedule will look like. Furthermore, the Gemini Cooperation will soon choose between two network options for their services: the Suez Network or the Cape Network.
The Suez Network will pass through the Red Sea, while the Cape Network will navigate around the Cape of Good Hope due to disruptions in the Red Sea. The Suez Network features 27 mainline and 30 shuttle services with 300 ships handling 3.4 million TEUs across multiple trade routes such as, Asia – U.S. West Coast/East Coast, Asia – North Europe, Asia – Middle East, etc.. The Cape Network includes 29 mainline and 30 shuttle services with 341 ships and 3.7 million TEUs, covering the same trade routes. Depending on what route is selected, users will benefit from 57-59 services and a fleet of 300-340 vessels.
Read more: “Understanding the Various Ocean Carriers, Alliances”
Looking Ahead
In summary, the Gemini Cooperation is set to begin operations in February, with the alliance subjected to stringent oversight and monitoring by the FMC, to ensure compliance with regulatory conditions. This careful scrutiny underscores the FMC’s commitment to maintaining competitive fairness and operational transparency in the evolving maritime industry.
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