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CU Lines guarantees equipment for maiden Asia-North Europe service

China United Lines (CULines) is assuring all shippers that it has enough containers to go around as it launches a solo Asia-North Europe service.

[s2If is_user_logged_in()]In advertisements circulated online and through Chinese instant messaging app WeChat, CULines stated, “Equipments Guaranteed” (sic).

Starting out as a domestic Chinese liner operator before expanding into intra-Asia routes, CULines has become a new entrant on the Asia-North Europe trade lane, at a time of record-high freight rates.

CULines opened bidding for slots on its Asia-North Europe trade lane on 20 January 2021 and the service will begin on 6 February. German freight forwarder Menzell & Döhle Group is acting as CULines’ sales agent in Europe.

Using a 2,700TEU ship, Laila, which was chartered from Peter Doehle, CULines will carry containers to Rotterdam and Hamburg via Shekou, Hong Kong and Yantian in a 30-day voyage. Containers from Shanghai, Ningbo and Cat Lai can be transhipped in Hong Kong, said CULines.

The slow return of empty containers from North America to Asia precipitated the rate spike as it resulted in insufficient boxes for other trade lanes.

Latest figures from the Freightos  Baltic Index (FBX) suggests that Asia-North Europe freight rates indicates that the rate of increase in spot rates has slowed, with the latest rate for a 40ft container at US$7,825 on 22 January, down from US$7,865/FEU on 19 January.

Starting an Asia-North Europe service is another milestone for CULines, which is 55% owned by the Chinese government through Unitrans. In October 2020, CULines launched an international shipping service from Hainan Island’s Yangpu port. In November 2020, CULines signed an agreement with Xinxinhai Shipping, Guangzhou Port and Hainan Port to develop a shipping service linking the Greater Bay Area in southern China with Hainan Port.

Martina Li
Asia Correspondent[/s2If]

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