EU competition authorities have launched a formal investigation into a proposed deal that would see two shipping giants jointly control Barcelona’s largest container terminal.
The European Commission announced it is examining the potential acquisition of a 50% stake in Terminal Catalunya SAU (Tercat), operator of the Barcelona Europe South Terminal (BEST), by Mediterranean Shipping Company’s Terminal Investment Limited Holding (TIL).
Currently, the terminal is under the exclusive control of Hutchison Ports.
Your browser does not support the video tag.
The Commission’s concern centres on whether the joint control by MSC, the world’s largest container shipping line, and Hutchison, the port’s main operator, could create an oligopoly. Consequently, this concentration of power has raised significant competition doubts in Brussels.
EU Competition Probe Targets Potential Preferential Treatment
Investigators will specifically assess whether the merger could lead to preferential treatment for MSC. Furthermore, they fear it might cause price increases, delayed dock access, and limited availability of cranes and storage space for competitors. “This partial exclusion could be a profitable strategy for the merged entity,” the Commission stated in a release.
Preliminary findings suggest MSC’s maritime transport competitors have limited options to switch container terminals within the port infrastructure. The Port of Barcelona has stated it respects the competition authorities’ process. The deal was notified to the Commission on 5 November, triggering a 90-working-day investigation period ending 30 April next year.
This development comes as Barcelona continues to manage significant infrastructure and economic changes. Meanwhile, the city has recently implemented other measures affecting major hubs, including new regulations around the Sagrada Família to address overcrowding.
The BEST terminal, operational since 2012, recently expanded its capacity by 25%. Located on the Prat dock, it employs over 1,100 stevedores and has just added seven container blocks, bringing its total to 34. Each block has an annual storage capacity of approximately 100,000 TEUs.
Last year, BEST handled a record 2.7 million containers. A €150 million investment expanded its area to 90 hectares, with plans to grow further to 100 hectares. This expansion would provide forty container blocks, twenty cranes, and 4,000 refrigerated sockets. The EU probe will determine if this growth occurs under a potentially anti-competitive structure.
The outcome of this investigation could have wide-reaching implications for Barcelona’s maritime trade and local economy. Additionally, it intersects with broader regional economic developments, such as the recent 4.11% employment jump in key metro areas. The Commission emphasises its initial concerns do not prejudge the final decision.
Stay connected with us on social media for the latest updates and news!
TikTok | Instagram | YouTube | X
Source: Read original article
