Wednesday

02-04-2025 Vol 19

Rethinking Schedule Reliability: APM Terminals Central to Maersk and Hapag-Lloyd’s Gemini Partnership

On March 4, 2025, at the Transpacific Maritime (TPM) Conference in Long Beach, California, APM Terminals’ Global Head of Hubs, Lars Mikael Jensen, joined Hapag-Lloyd CEO Rolf Habben Jansen and shipping analyst Lars Jensen to discuss a transformative development in container shipping known as the Gemini Cooperation. During the panel session titled “How Gemini Is Shaking Up the Schedule Reliability Game,” the speakers introduced the hub-and-spoke network model. This model marks a significant shift away from the traditional direct-service approach and aims to enhance schedule reliability in an industry beset by delays. Historically, industry-wide schedule reliability has remained low, with figures languishing in the mid-50% range.

The Gemini Cooperation seeks to elevate reliability to above 90%, offering a level of predictability that the sector has not experienced since before the COVID-19 pandemic. At the conference, Jensen underscored the importance of hub terminals as crucial to this undertaking. The Gemini model minimizes congestion by reducing the number of port calls for each service and relies on strategic hub terminals and dedicated gateways to enhance operational control. Additionally, it deploys shuttle services to ensure cargo predictability and incorporates buffer time into schedules to account for potential disruptions.

APM Terminals plays a pivotal role in the success of the Gemini initiative by integrating hub operations with the Network’s East-West ocean routes. This integration facilitates real-time decision-making, which is essential for minimizing disruptions. APM Terminals has invested significantly in terminal infrastructure, amounting to $3 billion, and plans a 40% capacity expansion at hub terminals, ultimately doubling processing speeds since 2016. Early indications from the Gemini Cooperation are promising, showcasing its potential to transform global shipping dynamics.

For instance, the Maersk Antares achieved on-time performance by arriving 54 minutes early at Pier 400 in Los Angeles. This consistent punctuality across vessels underscores the network’s effectiveness in delivering much-needed reliability, allowing customers to focus on growth rather than logistical uncertainties.

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