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The Gemini Cooperation Agreement between Hapag-Lloyd and Maersk has taken effect ahead of its official launch in February 2025, despite concerns lingering from the US Federal Maritime Commission (FMC).
The two carriers also revealed some of their plans for the new alliance, with two possible networks outlined depending on whether cargo ships are still rerouting around the Cape of Good Hope in February.
The new partnership will replace Maersk’s current 2M agreement with MSC.
Hapag-Lloyd CEO Rolf Habben Jansen said: “Reliability, connectivity and sustainability are the keywords in the networks we are presenting today, and we are pleased that we now can give our customers full transparency about how we will deliver a best-in-class ocean network so they can begin planning despite a highly dynamic situation.”
The primary network, which would see ships utilise the currently conflict-stricken Suez Canal, would consist of 300 vessels with a capacity of 3.4m TEU across 57 services, including 27 mainliners and 30 shuttles, on the East-West trade.
Meanwhile, the alternative Cape Network would use 340 vessels with a capacity of 3.7m TEU to cover 59 services, which comprise 29 mainliners and 30 shuttles, with a decision on which network will be deployed to be made next month.
Maersk and Hapag-Lloyd's announcement about the makeup of their Gemini alliance came as the deal passed initial investigations by the FMC into the competitiveness of the agreement, but regulators have warned the alliance will remain subject to extensive monitoring.
The regulator had previously expressed a concern about the alliance's impact on competition in the US shipping market in July when it asked for further information from the carriers, delaying the legal beginning of the deal until now.
FMC Chairman Daniel Maffei said he still has “questions and concerns” about whether the agreement would violate the Shipping Act but the legal 45-day limit for the FMC to review additional information had not been enough time to evaluate its impact.
He said: “Current law does not provide the FMC with any additional time to further evaluate the proposed agreement and no viable way to stop it from taking effect at this time.
“So, while the agreement does take effect, I have joined my colleagues in ordering FMC staff to engage in immediate and ongoing rigorous monitoring of the Gemini Cooperation Agreement.”
Details of the Gemini network provide another glimpse at the future makeup of the industry following similar announcements by ONE, HMM and Yang Ming’s newly named Premier Alliance, and MSC, which is going out alone after building up the world’s largest cargo fleet.