Uncertainty is mounting among freight forwarders in South Africa over the perceived loss of direct weekly sailings to the US, known as the American Express (Amex) service, jointly run by Maersk and Mediterranean Shipping Company (MSC).
Launched in 2019, the vessel-sharing arrangement has given South African shippers and their American counterparts guaranteed weekly call options connecting the US East Coast with several local ports.
But conflicting information has fuelled fears that the Amex service will become a casualty of the dissolution of the 2M alliance between MSC and Maersk in February.
According to a forwarder who didn’t want to be named, Maersk initially said the Amex service would continue and that shippers and their agents had nothing to fear.
But MSC apparently said the service would be terminated come October 1, 2025.
Maersk then apparently backtracked, saying its Amex rotations would be included in vessel-sharing services through its Gemini Cooperation arrangement with Hapag-Lloyd, its new alliance which replaced 2M.
It did nothing to assuage fears as Gemini sailings will be via Western Europe.
This has been confirmed by Terry Gale, chairperson of Exporters Western Cape, following a meeting with the Danish line.
“Transhipping via ports in Europe, currently battling with congestion, is hardly the same as direct services to the US and will add considerable waiting time to imports and exports,” he said.
“It will include ports like Algeciras, which is a disaster, Rotterdam, which is not much better, and London Gateway, which is also struggling with congestion.
“Even Antwerp isn’t ideal.”
Speaking to Freight News ahead of President Cyril Ramaphosa’s much-anticipated trade talks with US President Donald Trump in Washington on Wednesday, Gale said that uncertainty about what’s going to happen come October was adding to concerns about the country’s shipping relationship with the US.
“The direct sailings we have are a major benefit and should be sustained. One can only hope that, depending on what happens on Wednesday, we will see developments in the right direction.”
However, he bemoaned the fact that nothing official is forthcoming from Maersk and MSC.
“We need to know. It’s unacceptable that we are kept in the dark like this.”
This sentiment was also expressed by the forwarder who brought the matter to Freight News’ attention.
He said: “With the shipping lines, everything is verbal. Neither party seems to have a plan about what they are doing from the 1st of October.
“In the meantime, our clients need to start planning their import process if we’re going to tranship via ports like Algeciras.”
An independent indication that MSC, currently not part of any vessel-sharing arrangement, is on the verge of announcing a direct weekly service to the US could not be confirmed.
The forwarder said it wasn’t clear whether the Swiss line had enough cargo, on account of Maersk having the lion’s share of current Amex service loads.
Gale said a lot was riding on the Ramaphosa-Trump talks.
“We’re playing a waiting game at the moment but it would be nice of the shipping lines to let us know what they’re planning to do.”
- This is a developing story. The lines have been approached for comment.
