Northport (Malaysia) Bhd (Northport), Shin Yang Shipping Sdn Bhd and Harbour-Link Group Berhad, have signed a Memorandum of Understanding (MoU) to establish a strategic alliance called The East Malaysia Network or TEAM Network.
The MoU between the port and the shipping lines are aimed at achieving economies of scale through sharing of resources such as vessels, terminals arrangements, and networks.
Datuk Azman Shah Mohd Yusof, Chief Executive Officer of Northport, Captain Ting Hien Liong, Chief Executive Officer of Shin Yang and Mr. Francis Yong Piaw-Soon, Group Managing Director of Harbour-Link, signed the MoU.
It was witnessed by Datuk Che Khalib Mohamad Noh, Group Managing Director of MMC Corporation Berhad and Ian James, Group Chief Executive Officer, MMC Port Holdings Sdn. Bhd. (MMC Ports).
The deal is to increase shipping service frequency through schedule alignment between Shin Yang and Harbour-Link. With the consolidation of vessel capacity between the two lines, the pact will create greater economies of scale with the optimised deployment of vessels and a wider port coverage. This arrangement will result in a reduction of operating expenses as well as optimisation of capital expenditures for both shipping lines.