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The US Federal Maritime Commission has delayed the start of the Gemini Cooperation Agreement between Maersk and Hapag-Lloyd
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The US maritime agency determined that the pact lacked sufficient detail to fully analyze its potential competitive impacts
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The Gemini agreement, which was scheduled to take effect on July 15, was filed with the FMC on May 31
The US Federal Maritime Commission (FMC) has delayed the start of the Gemini Cooperation Agreement between container shipping lines Maersk and Hapag-Lloyd due to insufficient information.
In a news statement, the US maritime agency said that the Gemini Cooperation Agreement lacked sufficient detail to analyze its potential competitive impacts.
The Gemini agreement, which was scheduled to take effect on July 15, was filed with the FMC on May 31 by Maersk A/S and Hapag-Lloyd AG and Hapag-Lloyd USA.
READ: Maersk, Hapag-Lloyd enter into operational cooperation
The agreement allows the companies to share vessels in the trades between the US and Asia, the Middle East, and Europe.
Agreements become effective 45 days after filing, unless the Commission issues a Request for Additional Information (RFAI), as is the case here. Sans the RFAI, the pact would have gone into effect on July 15.
The RFAI process is used by the Commission to identify and achieve clarity on matters that were not addressed by the filing parties, or where information provided was insufficient in the original agreement.
Due to its commercially sensitive nature, the information sought is not publicly published.
Reconsideration of the pact will not take place until the Commission has received a fully compliant response to its inquiry.
Before it takes effect, the Commission has 45 days from when it determines responses to the RFAI are considered complete to review the agreement for competitive and legal concerns.
A 15-day public comment period will open once public notice of the RFAI is published in the Federal Register.
