ACCESS CONCENTRATION AND COMPETITION IN THE CONTAINER SHIPPING MARKET

Abstract

Container shipping is the backbone of the logistics system and the main mode of transportation in global trade. Currently, the container shipping market share tends to be dominated by a few large container shipping companies. In addition, the merge and acquisition of container shipping companies occurring frequently in recent years have caused many changes in this market. Its concentration and competitiveness shape the market structure and have a profound impact on the development of the glabal trade. Understanding the development of large shipping companies, its the concentration and competitiveness helps policy makers formulate appropriate policies. Therefore, the purpose of this study is to measure the concentration and competitiveness of the container shipping market in the period 2018-2024 through the concentration ratio (CR) and Herfindahl-Hirschman Index (HHI). The research results show that 0.1 ≤ HHI ≤ 0.18 and 40%≤CR4≤60%, therefor the container shipping market is average concentration level or monopoly competition.