Asian shippers call for more regulatory protection against liner conferences. Shippers in Asia believe container shipping’s cycle of boom and bust is exacerbated by “cartel” arrangements which encourage over-investment in new vessels.
John Lu, chairman of the Asian Shippers’ Council, told IFW the global system of agreements, alliances and conferences – which lines use to manage capacity and, on some trades, to set fees – was as much to blame for the freight rate collapse as economic recession.