Maersk Line announces Asia - Europe cutbacks

Maersk Line announced a series of adjustments to its Asia - Europe network. As of week 46 in November 2008 Maersk Line will:

▲ Temporarily remove the AE8 service. Thereby adjusting the Asia - Northern Europe capacity to match current demand levels and remove 7,600 TEU per week from the network
▲ Link the AE1 and AE10 services to accommodate AE8 port calls without loss of service connections
▲ Adjust the Asia - Mediterranean services - AE3, AE6 and AE11 - to widen the range of direct port combinations between Asia and the Mediterranean

The changes are made in light of the challenging market conditions.

“The current Asia - Europe market is characterized by unsustainable rate levels. The changes will support Maersk’s market position and ensure that its network is sustainable in the long term. Thereby Maersk Line can continue to offer its customers an extensive and reliable service network in the Asia - Europe trade,” said Robert Kledal, Vice President and Head of Product Management for Maersk Line.

The temporary suspension of the AE8 service and the extension of the direct services between Asia and the Mediterranean are in line with network adjustments carried out earlier in the year.

“We are continuously optimizing our network and looking for ways to make our operations more cost effective and competitive. We believe that the changes we announce today show that it is possible to adjust capacity and in the same time maintain and even expand our service level and coverage,” concluded Robert Kledal. <Korea Shipping Gazette>