Fiat Chrysler Automobiles NV and its affiliates, FCA US LLC, and FCA Italy S.p.A, have filed a formal complaint with the Federal Maritime Commission (FMC) alleging that a group of seven ocean common carriers conspired and acted in concert over a period of 20 years to suppress competition for roll on, roll off cargo shipping services in violation of the Shipping Act and FMC regulations, and that Fiat Chrysler suffered financial damages due to these unlawful actions.

This complaint has been assigned FMC Docket No. 17-09 and will be processed under FMC’s formal rules of practice and procedure. Carriers named in this complaint are Wallenius Wilhelmsen Logistics Americas, Eukor Car Carriers, NYK Line, Mitsui O.S.K Lines, “K” Line, Compañía Sud Americana De Vapores (CSAV), and Hoëgh Autoliners.

In its complaint, Fiat Chrysler states that since 1997 this group of carriers has failed to file with the Commission agreements to fix prices, allocate customers and routes, rig bids, restrict capacity, and otherwise raise, fix, stabilize or maintain prices, for roll on, roll off cargo services for shipments to and from the USA in violation of provisions of the Shipping Act. As a result of these alleged actions, Fiat Chrysler claims it paid higher prices for roll on, roll off cargo services than it would have in a competitive market. From 1997 to the present, Fiat Chrysler says it entered into service contracts for “hundreds of millions of dollars’ worth of roll on roll off cargo services” from the carriers to transport vehicles to and from ports in the USA.

The Fiat Chrysler complaint requests the Commission require the carriers to answer these charges. After due investigation and hearing, if the carriers are found to have violated the Shipping Act, the complaint requests the Commission order the carriers to stop violating the Shipping Act, and pay Fiat Chrysler reparations and reasonable attorney fees. The complaint requests Fiat Chrysler be awarded double its proven injury because the Shipping Act under 46 U.S. Code Part 41305 (c) provides for this when carriers are found to have taken “concerted action resulting in an unreasonable refusal to deal.”

The full text of the complaint and proceedings can be found in the Commission’s Electronic Reading Room at www.fmc.gov/17-09. This complaint has been assigned to the Honorable Erin M. Wirth of the FMC Office of Administrative Law Judges who will conduct such hearings and conferences as may be necessary to resolve the issues and to issue an Initial Decision or dispositive ruling. The initial decision in this proceeding shall be issued by October 17, 2018 and the final decision of the Commission shall be issued by May 1, 2019.

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Some carrier members of the Transpacific Stabilization Agreement (TSA), FMC Agreement No. 011223 serving the East Asia/USA trade lanes (U.S. Imports) updated their respective tariffs to include new General Rate Increases (GRIs) effective December 1, 2017, including APL, CMA CGM, COSCO, Evergreen, Hapag Lloyd, Hyundai, OOCL, and Yang Ming. K Line and NYK Line are no longer carrier members, but filed similar GRIs in their respective FMC tariffs.

See table below for GRI amounts per 40ft container; GRI amounts for all other container sizes are as per formula.

For some carriers, the December GRIs will be the fifteenth GRI of 2017 for the East Asia/USA trade lane..

The TSA Carrier group web site at www.tsacarriers.org provides additional information; however, each carrier maintains its own tariffs and controls its own pricing.

The TSA's 10 member carriers are: American President Lines, CMA CGM, COSCO Container Lines, Evergreen Marine, Hapag-Lloyd AG, Hyundai Merchant Marine, Maersk Line, Mediterranean Shipping, OOCL, and Yang Ming Marine.

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Some members of the Transpacific Stabilization Agreement Westbound (TSA), FMC Agreement No. 011223, whose member carriers serve the USA/East Asia trade lanes (U.S. Exports), have updated their tariffs to provide General Rate Increases (GRIs) effective December 1, 2017.

Note 1: COSCO filed GRIs of USD 40/50 per 20ft/40ft, respectively, for cargo from Long Beach, Los Angeles, Oakland; USD 80/100 per 20ft/40ft, respectively, from U.S. East Coast and Gulf Coast Ports, Seattle, Tacoma; and GRIs of USD 120/150 per 20ft/40ft, respectively, for all other U.S. origins.

Note 2: OOCL filed GRIs of USD 80/100 per 20ft/40ft, respectively, for cargo from Vancouver, Seattle, Tacoma, Los Angeles, Long Beach, Oakland, and U.S. East Coast Ports, and GRIs of USD 120/150 per 20ft/40ft, respectively, for all other U.S. origins.

The TSA Westbound Carrier group only issues recommended guidelines to its member carriers. The group's web site at www.tsa-westbound.org provides additional information; however, each carrier maintains its own tariffs and controls its own pricing. General rate increases are filed only in carrier tariffs.

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