Free audio stream, including stories that are padlocked on our site. Listen on any device, anywhere. Updated twice daily. The audio stream takes several seconds to start on Android devices.Launch Radio player
CMA CGM, the world's third-largest container shipping line, announced today it intended to withdraw the recently established weekly Nemo service from New Zealand at the beginning of August.
CMA cited rising costs as the reason for its decision.
In February, CMA announced plans to dump its Nemo service from Ports of Auckland and consolidate in the North Island on the Port of Tauranga.
Port of Tauranga (POT) said that in the short time the service had been calling in Tauranga, the volume of containers exchanged at the port had been far larger than originally predicted.
"We understand that CMA CGM expect to offer alternatives to current Nemo customers through the other services that they, and sister company ANL, currently hub through Tauranga and we do not expect any material impact on container throughput," POT said.
The decision in March by shipping heavyweights Hamburg Sud Trident and Maersk to merge their East Coast North America services cut ship visits to POT by 78 .
A year ago Maersk, the world's largest container line, decided to concentrate local services at Ports of Auckland, which it said it was using as a regional hub.
POT shares were unchanged on $6.85 today.
This article is tagged with the following keywords. Find out more about MyNBR Tags
- 2015 Rugby World Cup: Sky TV to screen every All Blacks game free-to-air on Prime
- 'Business PAYE' on cards as McClay promises tax overhaul
- Albany Heights’ creditor claims swell as liquidators take action
- Xero rival MYOB files for IPO, valuing company at $A2.34-2.69b
- A2 Milk debuts on ASX, announces mid-April US launch