In global logistics, shipping giants CMA CGM and Maersk are about to launch a joint express service linking Asia and the East Coast of South America (ECSA). This new service responds to increased trade volume between Vietnam and Brazil and provides efficient and streamlined transportation solutions to increase connectivity and reduce transit times.
The Asia-South American East Coast 3 (SEAS3) service, known as ASAS2 under Maersk's brand, will provide direct express service between major Asian ports and Brazil. By reducing port stops, the service is expected to optimize transit times and improve freight reliability. This is the first time CMA CGM and Maersk have partnered on this trading route, reflecting an industry trend to improve operational efficiency through strategic alliances.
The new express service will be launched in April, as freight rates on the East Coast route from Asia to South America are expected to rise. Industry experts predict shipping will increase from the current $2,100 per 40-foot standard container (FEU), which was previously as high as $8,000 per FEU in July last year. Expected demand growth makes this an ideal time for carriers to launch enhanced services.
The service takes 29 days from Vung Tau Port in Vietnam to Brazil's largest port, Santos, and is designed to meet the growing transportation needs between the two major economies. The full port docking sequence is Shanghai, Shekou (Shenzhen), VungTau, Singapore, Santos, and then back to Asia. CMACGM will deploy seven 6,500 TEU vessels, while Maersk will provide four vessels for commissioning.
The new service is expected to drive the development of trade between Brazil and Vietnam, with bilateral trade amounting to $80 billion in 2024, expected to exceed $100 billion by 2025, and planned to exceed $150 billion by 2030. Vietnam mainly exports seafood, rubber, textiles and footwear to Brazil, while Brazil exports soybeans, animal feed and cotton to Vietnam.
In addition to direct trade, the strategic anchorage of VungTau and the Port of Singapore will provide transit opportunities for other Southeast Asian countries such as Thailand, further enhancing regional trade integration. In addition, the Santos site will be the first service added by CMA CGM since last year's acquisition of a 48% stake in Santos Brasil, Brazil's largest port operator, further demonstrating CMA CGM's expansion plans in the South American logistics market.
CMA CGM and Maersk's collaboration follows HMM's similar alliance with Ocean Network Express (ONE), which plans to launch its own Asia-South American East Coast Express service in April. The HMM/ONE route will connect Busan, South China, Singapore and Brazil, reducing transit times through streamlined port docking.
As global trade patterns continue to change, these new express services will play a key role in ensuring supply chain resilience, shortening delivery times, and enhancing market access for Asian and South American businesses. Through strategic investments in route and port operations, CMACGM and Maersk are actively positioning themselves to become important logistics drivers between these two vibrant regions.
