Gemini to drop Shanghai call in Asia shuttle

The Gemini Cooperation, a partnership between Maersk and Hapag-Lloyd, will merge two of its Asia shuttle services into one string. This operational shake-up will result in the omission of a call at the key port of Shanghai.

Maersk informed customers it would combine the current A04 and A14 services into an enhanced A14 service. The Danish carrier stated the move was intended to enhance schedule reliability and provide a more consistent service offering. Both services are part of the Gemini network but are operated solely by Maersk vessels.

"The adjustment is intended to further enhance network reliability and service consistency, while maintaining connectivity across North China and South-east Asia through a consolidated service structure," Maersk said. Following the implementation, the standalone A04 service will be discontinued, with its cargo coverage incorporated into the revised A14.

Service Details and Rotation Changes

The final sailing of the A04 service will be with the departure of the 4,250 teu Seaspan Lingue from Dalian on 23 September. The weekly A04 had deployed two vessels with an average capacity of 4,200 teu on a rotation of Dalian, Tianjin, Busan, and Shanghai. Its primary role was feeding northern Chinese and South Korean shipments to mainline services at Shanghai.

The existing A14 service uses four vessels with an average capacity of 4,500 teu. It sails a rotation of Tianjin, Tanjung Pelepas, Singapore, Xiamen, and Busan.

The revised A14 service will begin with the eastbound departure of the 5,000 teu Ute from Tianjin on 26 September. The redeployed Seaspan Lingue will then depart Tianjin on the southbound voyage on 29 September. The new rotation will be Tianjin, Tanjung Pelepas, Singapore, Xiamen, Tianjin, Dalian, and Busan.

Impact on Port Calls and Transhipment

The network consolidation has concrete consequences for port connectivity. The net effect for shippers and forwarders is the omission of Shanghai from this service string. It also reduces weekly calls at the South Korean port of Busan from two to one.

This change reinforces the importance of Gemini's transhipment hub at Tanjung Pelepas in Malaysia. The omission of Shanghai, a traditional partnership hub, signals a strategic shift in how the alliance manages its feeder network in the region.

Underlying Congestion Challenges

Although Maersk did not specifically cite port congestion as a reason for the change, severe delays in the Shanghai-Ningbo basin are a likely contributing factor. Vessel waiting times at the world's largest container port and its neighbour Ningbo have remained high for months.

Analyst firm Linerlytica reported last week that terminal operations in Ningbo and Shanghai were severely disrupted again by Typhoon Saudel. This resulted in extended delays of more than 10 days in the most severe cases.

According to Linerlytica's data, 56% of the global total of 3.92 million teu in vessel capacity awaiting a berth is tied up in North Asia, particularly in the Shanghai-Ningbo basin.

Forwarder Kuehne + Nagel provided specific metrics on the congestion. The container yards at Ningbo are near 95% occupancy, with an average vessel waiting time of 3.5 days. At Shanghai, the average vessel waiting time is now just under five days.

Kuehne + Nagel noted that vessel queues, berth congestion, high yard density, and schedule adjustments in Shanghai are creating cargo backlogs. This raise the risk of rollovers and transhipment delays for shipments moving through the port.