BREAKING NEWS - THE EU WILL NO LONGER EXEMPT CONTAINER SHIPPING FROM COMPETITION LAW - CBER TO TERMINATE 25 APRIL 2024

We have woken to incredible news that will no doubt rock the entire container shipping world.

After many years of advocacy via our board representation on the Global Shippers Forum (GSF), Freight & Trade Alliance (FTA) and the Australian Peak Shippers Association (APSA) welcome the news from the European Commission not to extend the Consortia Block Exemption (CBER).

The Commission published its Staff Working Document summarising the findings of its evaluation, concluding that the CBER no longer promotes competition in the shipping sector and therefore will let it expire on 25 April 2024.

The GSF has led the voice for industry providing evidence that the CBER has adversely impacted shippers (exporters and importers) and other supply chain participants such as freight forwarders and port operators, which compete directly with vertically-integrated carriers. 

The decision appears to be a normalisation of competition rules for liner shipping forcing them to assess their co-operative actions under same guidance and criteria as applies to every other commercial sector. This need not be the end of consortia as we know them, it will however add more transparency and self-discipline expected amongst the lines, consistent with policies for all other sectors.

Importantly, in an Australian context, this provides significant momentum for our advocacy for the repeal of Part X - further detail to follow next week.

We look forward to examining the detail of the Commission's report and working with other stakeholders in the supply chain to allow the new normal in liner shipping to work smoothly.

Paul Zalai - Director FTA | Secretariat APSA | Director GSF