CSCL trumps Maersk Triple-E with larger ship order
China Shipping Container Lines Co (CSCL) has taken large scale ships to the next level, following the order of five ships even bigger than the enormous Maersk Triple-E, the world’s biggest containership which is due to start its maiden voyage on June 28th.
Reports this week claim the CSCL have chosen Hyundai Heavy Industries Co to construct five vessels that can each carry 18,400 20-foot boxes in the (approx) $683 million contract.
Whilst it seemed that the maximum container capacity was set by Maersk Line when it imposed its Triple-E series, which can carry 18,000 TEU containers, the Chinese shipping company have raised the bar with an order for five gargantuan container carriers which can hold a record breaking 400 TEU containers more than the Triple-E.
The size of the CSCL ships will reportedly be similar to the Maersk Triple-E at 400m long, 58.6m wide and with a 30.5 ft draft. Hyundai said that the ships will have electronically controlled main engines and two EcoBallast water treatment systems for sea water.
The main engine will be able to maximize fuel efficiency and reduce noise, vibration and carbon emissions, automatically controlling fuel consumption to meet the speed demanded for navigation and according to sea conditions.
The EcoBallast system can treat 3,000 cubic meters of sea water per hour through filtration and sterilization of bacteria and plankton, larger than 50 microns, with ultraviolet rays.
CSCL, based in Hong Kong, is the second largest shipper in China, according to cargo volume activity, behind Cosco, and the tenth in the world in container shipping.
XPO Logistics Completes Spin Off of GXO Logistics
XPO Logistics has completed its spin-off of GXO Logistics, creating two independent public companies.
GXO Logistics today marked the occasion by ringing the opening bell on the New York Stock Exchange. GXO leadership and board members were in Manhattan to mark the “exciting milestone in GXO’s history”, opening Wall Street and celebrating the business’s first day of regular way trading.
“We consider it a privilege to launch GXO as a new company at the top of the industry — the world’s largest pure-play logistics provider,” said chief executive Malcolm Wilson, in a statement. “We have a powerful platform for future growth, including our culture of innovation, strong customer relationships, seasoned leaders and a world-class team. This is day one of unlocking vast new potential for our company.”
GXO Logistics in Brief
- CEO: Malcolm Wilson (formerly CEO, XPO Logistics Europe)
- Employees: 94,000 approx.
- Warehouse capacity: 208m sq.ft
- Key customers: Apple, Nike, Whirlpool, Nestlé
XPO’s Pure-Play Strategy
XPO Logistics announced plans to spin off its logistics division in December 2020, with the intention of creating two pure-play entities focussed on contract logistics (GXO) and freight transportation (XPO).
In an interview last month, GXO Chief Investment Officer Mark Manduca said there is “massive scope” for growth both organically and through M&A activity. "A deep pool of potential new business exists for GXO, both through share gain and penetration,” he added, explaining that companies are increasingly looking to outsource logistics as supply chains become ever complicated.
GXO is a leader in logistics automation and robotics, leveraging AI and machine learning to ‘turn logistics into a competitive advantage’ for its customers. It has approximately 94,000 employees, and counts Apple, Nike and Whirlpool among its blue chip customers. The company says it will also look to strengthen its presence in other high-growth areas, primarily ecommerce, apparel, technology, food and beverage, and consumer electronics. The company has 208m+ sq.ft of warehouse space across 869 locations in 27 countries.