MyCC issues third block exemption order for liner shipping agreements
18 November 2019
The Malaysia Competition Commission (‘MyCC’) on 13 November 2019 issued a block exemption order (‘BEO’) for certain liner shipping agreements, namely the vessel-sharing agreements (‘VSAs’) between liner operators in which the parties agree on the operational arrangements relating to the provision of liner shipping services through transportation by sea pursuant to section 8 of the Competition Act 2010.
This BEO, which is effective for the period 7 July 2019 to 6 July 2022 (unless earlier withdrawn by the MyCC), is the third BEO issued by MyCC in respect of the said VSAs. The previous BEOs had expired on 6 July 2017 and 6 July 2019.
The liner shipping industry remains the first and only industry in Malaysia to receive formal block exemptions under the Competition Act 2010 since it came into force in 2012.
Skrine represented the liner shipping operators in all three applications for block exemptions. The Partners in our Competition Law Practice Group are To’ Puan Janet Looi and Ms Tan Shi Wen.