Do mergers and alliances influence European shipping and port competition?

TLDR

European ports face increasing integration and new cooperation agreements such as alliances, mergers, terminal management involvement, and inland transport expansion, requiring a redefinition of port authority roles. This paper reviews these agreement types and examines their impact on port competition, focusing on ports’ competitive positions in the evolving market.

Abstract

In Europe, ports are confronted with a closer integration in the maritime and shipping industries. The co-operation agreements can take several forms such as alliances and mergers among shipping lines, conferences, involvement of shipping companies in terminal management, and extending interests in inland transport of shipping companies. In this paper we give a brief overview of these different types of agreement and we examine the consequences of this evolution of the market structures in which ports and shipping companies have to operate. More specifically, attention goes to the competitive position of the port in this new environment. It is clear that the role of the port and the port authorities has to be redefined to guarantee that it remains a fully fledged player in this fast evolving integrated market.