FMC renews list of “controlled operators”
Daniel Bosch Wood
Maritim Lawyer
LLM Southampton
Las Palmas de Gran Canaria
It includes those shipping companies with a majority participation of foreign governments
The Federal Maritime Commission (FMC) of the United States held a regular and open meeting where, along with other matters, the changes in its list of “controlled operators” were discussed, bringing together shipping companies with a majority participation of foreign governments and that had to be modified due to to the consolidation of the sector.
It should be noted that the Commission is responsible for overseeing the foreign government control of shipping lines. In this sense, the FMC maintains a list of these types of companies that is updated periodically according to the circumstances justify it.
Recent consolidation in the container transport industry has resulted in four notable changes among controlled carriers:
– China Shipping joined COSCO Container Lines Company, Limited, renaming COSCO Shipping Lines Co, Ltd.
– American President Lines, Ltd. and APL Co., Pte., Will be removed from this list because it is now wholly owned by CMA CGM S.A. and no state entity is the majority owner.
– United Arab Shipping Company Ltd. (formerly United Arab Shipping Company (S.A.G.) will also be removed from the list because it is now wholly owned by Hapag-Lloyd and no state entity appears majority owner
– Hainan P O Shipping Co., Ltd. is removed from the list because it no longer operates for the US foreign trade service.
– COSCO Shipping Lines Co., Ltd. and CNAN Nord SPA, as long as they remain on the List of Controlled Operators.
In addition, the Commission met behind closed doors to receive confidential reports on the Trans-Pacific Stabilization Agreement and the West Coast Maritime Terminal Operator Agreement (WCMTOA).
In that order, the FMC reviews agreements under the Maritime Transport Act to ensure that the participating parties do not engage in anti-competitive conduct that results in irrational increases in service charges or decreases or other prohibited acts.