ShippingWatch

MSC threatens to slash Gothenburg traffic in half

The global container carrier and major customer of APM Terminals in Port of Gothenburg now says that it is considering rebooking close to 50 percent of its port calls. The announcement follows the gridlocked conflict between dockworkers in the port and APM Terminals.

The gridlocked conflict between dockworkers and APM Terminals is now starting to really hurt the Port of Gothenburg.

The port has previously estimated that the conflict caused a seven percent slide in cargo volumes as carriers and shippers have found other ways to transport their goods to and from Sweden.

And now the global container carrier MSC threatens to cut its calls in Port of Gothenburg in half unless the problems are resolved, reports Swedish media Gøteborgs-Posten.

We are getting so strong reactions from our customers that we will definitely make a sizeable reduction on bookings in Sweden"

Morten Møller Weisdal, managing director, MSC Sweden

"It's 100 percent because of the labor conflict. We are getting so strong reactions from our customers that we will definitely make a sizeable reduction on bookings in Sweden," Morten Møller Weisdal, MSC's managing director in Sweden, tells the media, adding that this would be a significant reduction of around half the port calls.

MSC is a major customer of APM Terminals in Port of Gothenburg and partner of Maersk Line in the world's biggest container alliance, 2M.

The statement from MSC comes a week and a half after yet another attempt to mediate the conflict between dockworkers represented by union Svensk Hamnarbetarförbundet's subdivision Ham4an and the Maersk Group's port unit APM Terminals collapsed.

The carrier is not the first customer to look toward other ports due to the conflict. In May the Swedish foresting group Stora Enso announced that it considers leaving Port of Gothenburg. This news came in a letter to Sweden's minister of transport, who has entered the case.

According to Gøteborgs-Posten, chemical group Akzo Nobel and fashion company Lindex have also opted to find other routes for its goods.

However, a resolution does not look imminent. In early June the Swedish mediator announced that he has given up efforts to mediate between the parties in the conflict. The parties have been summoned to a new meeting at Sweden's mediation body Mæglingsinstitutionen on Friday, reports media Sjøfartstidningen.

English Edit: Daniel Logan Berg-Munch

MSC's North European business hit by fierce competition

Public mediator gives up on Gothenburg conflict

The Gothenburg port conflict enters a new stage of deadlock

Frontpage right now

Diamond S pulls 18 vessels out of Norden's tanker pool

Diamond S Shipping, controlled by current US Secretary of Commerce Wilbur Ross, is pulling its vessels out of Norden's tanker pool and Scorpio for strategic reasons. "Not a problem for us," says Søren Huscher, CEO of Norient Product Pool.

The extensive Monjasa fraud case to begin Monday

It cost Monjasa founder Jan Jacobsen a prison sentence of 3.5 years and a DKK 10 million fine for the firm when they were convicted of extensive fraud last year in a municipal court in Denmark. Now the appeal case will begin at the Danish national court Vestre Landsret.

Bulk shares have surged in 2017

Investors are now also thought to believe in a stable recovery in bulk, where the largest shares have been through significant price increases throughout 2017. One carrier in particular has experienced a huge price increase.

Latest Container

Related articles

Latest news

Jobs

See all

See all