US Sanctions Reshape SeaLead's Business Model

According to WPB, Singapore container shipping line SeaLead has made a significant adjustment in the way it does business following the addition of several ships to the updated US sanctions list that targets Iranian-linked companies.

The company has canceled charter contracts on 16 ships, representing nearly one-third of its operating fleet, after the US Office of Foreign Assets Control (OFAC) identified 22 ships as being under new trade sanctions. SeaLead was the 13th largest container line in the world when ranked by Alphaliner prior to these occurrences. Its ranking has dropped to 19th with the attendant reduction in capacity.

The vessels involved include Ace, Ale, Bertie, Bigli, Hakuna Matata, Lidia, Moana, Pinoccio, Pumba, Rantanplan, Simba, Star, Tex, Timon, Yogi, and Zagor. The vessels were withdrawn from operation, hence suspending SeaLead's operations temporarily.

Operating in excess of 50 vessels on a vast geographic route network ,spanning routes in the Far East, Southeast Asia, Indian subcontinent, Arabian Gulf, Red Sea, Mediterranean, Oceania, and American continents ,the company has issued a notice of short-term interruptions as substitute tonnage is being sought.

In the public announcement, SeaLead emphasized its adherence to global compliance standards and revealed that it screens all chartered vessels rigorously within its due diligence processes. This includes comprehensive vetting of sanctions and supplier verification processes. The company confirmed termination of all existing agreements associated with the sanctioned vessels and parties, reiterating its highest level of commitment to regulation compliance.

Aside from SeaLead's impacted ships, six other sanctioned ships are allegedly operated by Vuxx Shipping, a carrier with roots in China and known to keep services linked to Russia.

By Bitumenmag

Shipping, Vessel, Sea, Bitumen