Maersk Line has announced it will leave the Port of Charleston and return its dedicated terminal at the port to the South Carolina State’s Ports Authority (SCSPA) no later than 31 December 2010 when the company’s current contract ends.
Additionally, the group informed the SCSPA that it will move one service, the South Atlantic Express (SAE) which represents roughly 25 per cent of Maersk Line’s total number of port calls in Charleston, to other nearby ports in early 2009.
The remainder of the group’s services will be transitioned strategically over the next two years in very close coordination with its customers.
“Bearing the cost disadvantage between our situation in the Port of Charleston and that of our competitors in the common yard is unsustainable,” said Dana Magliola, spokesman for Maersk Line, in a press statement. “It would be unfair to our shareholders, customers and our employees to continue to operate in this environment.”
During this transition from Charleston to other nearby ports, Maersk Line will honour all contractual obligations and will strive to maintain the current positive relationship that it holds with all the stakeholders in the port as operations are transitioned to nearby ports.
“The South Carolina State Ports Authority offered us a workable solution that involved a move into the common yard, but we needed the consent of local ILA to accomplish the move,” explained Ms Magliola.
“The local ILA refused to consent, and so we are forced to move. By moving to other regional ports, we will once again be able to compete on a level playing field with other ocean carriers while continuing to provide excellent service to our customers.”