Maersk Line, Mediterranean Shipping Company and ZIM have signed a new strategic cooperation agreement covering the Asia-US East Coast trade lane.

According to the shipping lines, the cooperation is scheduled to begin in early September 2018, subject to regulatory approval. The initial term of the agreement is four years, with an option to extend it to a total of seven years.

“We are pleased to enter into this strategic cooperation with ZIM,” said Søren Toft, chief operating officer of Maersk Line. “We will improve our combined product portfolio between Asia and the US East Coast and deliver on our promise to customers while creating the needed operational efficiencies for us to run a sustainable business on the trade also in the future.”.

Maersk Line and MSC, forming the 2M Alliance, currently operate five loops on the trade lane while ZIM operates two loops. From early September 2018, 2M will contribute four of it operated loops to a combined operation with ZIM between Asia end the US East Coast, with ZIM to operate one loop. The parties will swap slots on all five loops of the new cooperation.

The cooperation will generate cost efficiencies and an enlarged service network, providing customers with more choice.

“We are pleased to enter into this strategic operational cooperation with the 2M Alliance,” said Eli Glickman, president and CEO of ZIM. “The agreement will significantly improve our services on this important trade, where we remain a major player as part of our strategy.

It is a vote of confidence by the two largest players in the industry, acknowledging ZIM’s capabilities, reliability and strength. Furthermore, it will enable ZIM to achieve operational efficiencies and ensure our ability to maintain a leading position on the trade. We will continue to be independent, building on our personal links with our customers, for which we are so well known in addition to our ongoing technological initiatives such as our successful blockchain project. We will continue to service all trades in our current network – with even better service links and transit times. Our customers will continue to benefit from ZIM’s exceptional level of service, now with an improved product.”

More information about network changes and schedules on the Asia-US East Coast trade lane will be disclosed at a later date, according to the three companies.