Carriers won’t fight APM’s Virginia bid
Mediterranean Shipping Co. and CMA CGM say they no longer object to a proposal by APM Terminals to take over the Virginia Port Authority’s container operations, the Journal of Commerce reports.
MSC and CMA CGM sent letters to Gov. Bob McDonnell backing away from their previous concerns about a monopoly by A.P. Moller-Maersk Group, the Norfolk Virginian-Pilot reported.
APM Terminals and Maersk Line, the world’s largest container line, are subsidiaries of Denmark-based A.P. Moller-Maersk Group.
The changed stances by MSC and CMA CGM, the world’s second- and third-largest container shipping lines, follow APM Terminals’ filing of an addendum to its proposal to address competitive concerns.
“Last month, we wrote to you to express concerns about the unsolicited proposal submitted by APM Terminals to obtain a concession to operate the Port of Virginia,” wrote Frank J. Baragona, president of CMA CGM (America). “Based on the assurances and commitments we have received from APMT, CMA CGM no longer opposes its concession proposal.”
The Virginia Port Authority board meets Wednesday in Richmond, where briefings are scheduled on four proposals for operating the port, including one from the current operator, Virginia International Terminals.
McDonnell also has received a letter from a third carrier, Atlantic Container Line, stating that it looks forward “to working with APM Terminals if its proposal is accepted.”
