Zim has announced that it will withdraw from Asia-Australasia trade routes and enter into a vessel-sharing agreement (VSA) with MSC.
The decision comes after the Israeli line reported a net loss of $213 million in the second quarter of 2023.
As a part of this strategic shift, Zim will temporarily halt its Oceania-related operations, which encompass three services: Asia-Australia CAX, South China/Southeast Asia-Australia TFX, and Trans-Tasman N2A.
Under the new arrangement, Zim will collaborate closely with MSC on the Panda loop, which will be rebranded as ZAX.
It will involve deploying a fleet of seven vessels, each capable of carrying 5 000 TEUs.
The move is expected to enhance Zim’s market position in the region through a mutually beneficial partnership with the Swizz-run line.
As part of its network restructuring, Zim’s collaboration with MSC will extend to its upcoming ZAO and ZOX services, for which Zim is anticipated to engage in slot chartering with MSC.
The development necessitates the identification of alternative employment opportunities for the 2 500-2 800 TEU charter vessels that are currently engaged in the loops, and which will soon be discontinued.