China Ocean Shipping Co (Cosco) is seeking to launch a new China to US east coast all-water service via the Panama Canal from mid-2004, deploying nine ships in possible partnership with other lines, said company insiders. The move is set to add another 100,000 teu or more annualised capacity to the route, which is seen by an increasing number of lines as a less risky alternative to the direct trans-Pacific route over the US west coast, which was recently disrupted by strike action. However, the east coast route incurs increased expense by moving cargo over the US landbridge to and from major inland markets.
Cosco has concluded time charters on up to six ships of about 2,500 teu apiece, in what appear to relate to the launching of a new service, or the extension of existing links.