Competition rule exemption for container shipping to end

The European Commission has announced that it has decided not to extend the antitrust exemption for liner shipping consortia in the container shipping sector.

The statement noted that the legal framework exempting liner shipping consortia from EU competition rules would not be extended as it does not promote competition, and it was recorded that the practice will end on April 25, 2024.

Recalling that the exemption in question allowed for cooperation agreements as "consortia" under certain conditions for joint cargo transport services on shipping lines, the statement expressed that the practice did not enable smaller carriers to cooperate among themselves and offer alternative services in competition with larger carriers.

The statement indicated that cooperation agreements in the sector could still be conducted in compliance with EU competition rules.

With the exemption regulation adopted in 2009, liner shipping operators with a market share of less than 30 percent were able to come together to offer joint cargo transport services, provided they did not fix prices or share markets among themselves.

News Source: 12punto