Supply Chain Research

The U.S. Federal Maritime Commission approved the start of THE Alliance despite concerns from the Department of Justice about the consolidation of market power in U.S. shipping services. The merger of the three Japanese shippers that are part of THE may require its own antitrust approval given its 7% share of the market. The bigger deal though is Maersk’s purchase of Hamburg Sud, which will have over 8% giving the 2M Alliance 17%. U.S. regulators have a busy 2017 ahead.