The port of Antwerp
French shipping giant CMA CGM and Franco-Dutch airline Air France-KLM announced on Tuesday that they were withdrawing from their existing commercial agreement in cargo transport due to regulatory constraints.
This partnership, concluded in May 2022 alongside the entry of CMA CGM into the capital of Air France-KLM, was part of the Marseille company’s efforts to extend its reach in the field of logistics, thanks to to a boom in shipping profits linked to the COVID-19 pandemic.
“Air France-KLM and CMA CGM have opened discussions on the new terms and conditions of a commercial relationship in which each group would operate independently from March 31, 2024,” the two groups said in a statement.
The end of their cooperation is motivated by a “constrained regulatory environment in certain important markets”, it is indicated in the press release, which does not provide details.
CMA CGM will remain one of the main shareholders of Air France-KLM but will leave the air carrier’s board of directors on March 31, the two companies announced.
As part of the overhaul, the lock-up clause for the shares held by CMA CGM in the capital of Air France-KLM will also be modified, with a full expiration on February 28, 2025. Initially, the lock-up was to expire on June 15, 2025, followed by a blocking period of 50% of shares until June 15, 2028.
CMA CGM controls approximately 9% of the capital of Air France-KLM.
“Both groups remain committed to working collaboratively, so that cargo customers can continue to benefit from their respective networks,” the companies’ joint statement said.
(Report by Tassilo Hummel and Gus Trompiz, French version by Dagmarah Mackos, edited by Blandine Hénault)