Supply Chain Research

A disagreement over port asset valuations is holding up the final structuring of Ocean Network Express (ONE), the jointly owned container-line of \K-Line, Mitsui-OSK and NYK Line. The U.S. port assets of the three companies – located in Oakland, Long Beach, Los Angeles, Jacksonville and Tacoma – accounted for 56.5% of ONE’s U.S. seaborne in the 12 months to Mar. 31, making the structuring and operational strategy of the combined entity a complex issue. The restructuring may be particularly challenging at Long Beach and Oakland. The overall impact on those ports may be limited as ONE only...