The container liner shipping industry has stepped into an era of international strategic alliances. Important to these liner alliances is the sharing and allocation of container slots between its member carriers. This paper optimises planning of container ship capacity sharing and co-allocation under a co-charting agreement. First, we explain the concept of this business agreement and its implications on maritime operations. Then, we identify key influencing factors that may affect the decisions of cooperative slot co-allocation. The slot co-allocation problem is modelled as an Integer Programming problem and solved using data from two routes between the United States and Asia. The model determines the optimal slot co-allocation strategies between shipping alliance carriers along allied shipping routes. Computational results indicate that the proposed method is effective in obtaining optimal, cooperative slot sharing strategies that can maximise the total system revenue.

In the liner shipping market carriers share container slots to offer better service and realize economies of scale. This paper studies slot co-allocation planning for a joint fleet in a round trip for a shipping alliance in the liner shipping industry. In particular, a conceptual model is developed based on joint fleet and slot co-allocation management. The factors affecting slot co-allocation planning are explored in detail. A large-scale integer programming model is formulated to guide carriers in an alliance in pursuing an optimal slot co-allocation strategy. In contrast to the existing research, this approach leads to a more accurate representation of the situation for cooperative services in the liner shipping market. Extensive numerical experiments based on a true Asia-Europe cooperative route of COSCO and HANJIN show that the proposed model can be efficiently solved by LINGO11.0 for the case study. The computational results suggest that the mechanism and model can be used to benefit carriers in making better decisions in shipping cooperation services.