ASIAN SHIPPERS’ COUNCILS COMBINE EFFORTS AGAINST CARTELS

   The shippers’ councils of Japan, Hong Kong, South Korea and the Federation of the Association of Southeast Asian Nations have met to discuss an action plan to curb what they described as "the dominance of the shipping cartel" in international shipping.
    Following a joint meeting in Tokyo, the shippers’ organizations said that "shippers in Asia fully support the need for the governments of the region to regulate the collective agreements of the shipping cartels and super-agreements such as the Transpacific Stabilization Agreement."
    The call for government intervention follows the introduction of large freight rate increases by ocean carriers on the strong outbound trades from Asia, including in the Pacific eastbound trade.
    A spokesman for the Asian shippers’ groups said that "huge increases in freight rates" and new surcharges "would not have been possible in a competitive market."
    The shippers’ councils also criticized the imposition of carriers’ terminal handling charges as an abuse of market power. They agreed that they would refer abuses to their relevant competition authorities, when appropriate.