The French liner shipping company CMA CGM has announced investments of 20 billion dollars in the USA. A move to secure market share?
As a leading partner in the US trade, CMA CGM says it transports over 5 million TEU to and from the USA every year. In addition, the carrier American President Line (APL), which operates under the US flag, is part of the shipping and logistics group managed by Rodolphe Saadé.
The goal over the next four years is to contribute to the U.S. maritime economy and help transform America’s domestic supply chain. “Over the next four years, we will significantly grow our U.S.-flag fleet, expand capacity at key container ports on both coasts, build state-of-the-art warehouses across the country and establish a major air cargo hub in Chicago,” Saadé announced.
This is expected to create 10,000 new jobs in America. Today, the group operates in 40 US states and employs 15,000 people.
The French are thus responding to the new US doctrine, which aims to strengthen domestic shipbuilding and the maritime transport sector, among other things, and also push back Chinese dominance.
US President Donald Trump had previously received Saadé at the White House. He must have been pleased to hear that APL’s fleet is to grow from ten to 30 ships under the US flag. The CMA-CGM boss said that the group would soon be ordering more ships. Trump once again called for the construction of large ships in the USA. However, it is more than doubtful whether the French will place their order with the USA.
Only the day before, Trump had announced the creation of an “Office of Shipping“, which would report directly to the White House. The USA will soon be building the “biggest ships in the world”, Trump added during his meeting with Saadé. A corresponding program will be launched in the coming week, according to the President.
