Mediterranean Shipping Company has reached a significant milestone, becoming the first container shipping line to command a 20% share of the global containerised capacity.
The Swiss carrier has grown at a rapid pace, outpacing the overall market, and is now on the cusp of reaching a capacity of six million twenty-foot equivalent units (TEU).
This achievement marks a historic shift in the industry, as MSC has surpassed its long-time rival, Maersk, which had held the top spot for more than 25 years.
According to data from Alphaliner, MSC's operational capacity currently stands at over 5.2m TEU, with its market share reaching 19.9%.
What is perhaps most important in this context is that MSC has achieved this size solely through organic growth, said Lars Jensen, founder of consultancy Vespucci Maritime.
All other major global container lines have achieved their scale through acquisitions. This is an indication that the Swiss carrier is likely not done with its growth path yet, he added.
MSC's rapid expansion has been driven by its strategy of aggressively adding new vessels to its fleet, both through new-builds and the acquisition of second hand ships.
The company's order book currently stands at 126 new vessels, which will bring an additional 1.55m TEU of capacity.
In contrast, Maersk has taken a different approach, focusing on diversifying its business into logistics and supply-chain services, rather than concentrating solely on expanding its container shipping operations.
Maersk's market share has steadily decreased since it briefly reached the 20% threshold in 2018, and its current capacity is significantly lower than MSC's.
The rise of MSC as the new market leader has been widely recognised by industry analysts.
Peter Sand, chief analyst at freight rate platform Xeneta, described MSC's growth as 'spectacular'.
The company's ability to rapidly expand its fleet and capture a growing share of the global container market has put significant pressure on its competitors.
As the industry continues to evolve, the battle for dominance between MSC and Maersk, as well as other major players, is likely to intensify.
The outcome of this competition will have far-reaching implications for the global supply chain and the shipping industry as a whole.
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