Dive Brief:

• THE Alliance announced it had finalized its port rotations Thursday, operating 32 services and calling upon 75 ports on major East-West lanes, according to a Hapag-Lloyd press release.
• In addition, the five member lines announced they would jointly "establish an independent trustee to manage funds" in case of a member's insolvency. The contingency plan is reportedly the first in the industry.
• The funds would guarantee a customer's cargo is delivered to the port of destination, even in the event of bankruptcy.

Dive Insight:

Shippers were put on edge after Hanjin Shipping's bankruptcy last year left millions of dollars worth of cargo stranded on inactive ships, which were unable to dock on ports due to the sixth-largest carrier's August default.

Absent industry guarantees, stakeholders have taken to evaluating financial health independently and seek further securities against bankruptcies. Drewry Maritime Consultants, for example, have started providing their clients with credit research on carriers to spread awareness on financial health. For an alliance to provide a guarantee that cargo will be delivered even in the "unlikely event" of bankruptcy could be considered a competitive advantage.

The move is an assurance, at least, on paper. How the guarantees would play in out in contract talks remains unclear, as do the many nuances of slot placements, such as whether the guarantee would also apply to cargo booked on another, non-member carrier's ship but contracted to the bankrupt carrier. Regardless, the fact that a bankruptcy plan exists is both laudable for the alliance, but also a reveal of the degree shippers fear another logistics disaster.