South Korean flagship HMM has deposited $25m into THE Alliance’s contingency fund ahead of its April 1 joining of the liner grouping.
The cash reserve was first set up three years ago in the wake of the collapse of another Korean liner, Hanjin Shipping, and the then partners of the defunct CKYHE alliance had to handle the supply chain fallout from the bankruptcy.
According to Alphaliner, HMM’s $25m contribution will be the largest among the four alliance partners, with other members’ shares slightly revised. Ocean Network Express has set $23.3m aside for the fund, Hapag-Lloyd $16.25m and Yang Ming $10.45m.
The amount of contingency contribution is reviewed by THE Alliance’s member lines each year, starting on 1 April.