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CMA CGM

1.5 - Company logo
1.1 - Primary company name

CMA CGM

1.3 - Head office location

4, quai d'arenc - 13002 MARSEILLE

1.4 - Website

https://www.cma-cgm.com

1.6 - Number of ships operated

509

1.6.1 - Number of ships owned

189

1.6.3 - Number of ships chartered

320

1.8 - Please provide a brief introduction to your company

CMA CGM, founded by Jacques R. Saadé, is a leading worldwide shipping group. Due to its global expertise in maritime transport and logistics, the CMA CGM Group brings its clients a seamless shipping experience truly unmatched on the market. Combining efficiency, reliability and a global network of experts and agencies, CMA CGM Group offers unique cargo solutions to business needs. Present in over 160 countries through 755 agencies, 750 warehouses and 110,000 employees and a diverse fleet of 509 vessels. CMA CGM serves 420 of the world's 521 commercial ports and operates on more than 200 shipping lines.

1.9 - What is your overall approach / positioning on ship recycling?

CMA CGM has one of the most modern and young fleet within the sector, so in a logical way, ships are predominantly sold on the second-hand market a long time before they reach their end of life. However, when it comes to ship recycling issues, the Group’s position is to urge the adoption and ratification of the Hong Kong International Convention for the Safe and Environmentally Sound Recycling of Ships. Faithful to their sustainable commitments, CMA CGM has already taken proactive actions to promote better hazard management enhancing health, safety and environment in the dismantling process in line with the Hong Kong Convention and other local regulation. Among other, since 2007, all our new building vessels are equipped with an approved Inventory of Hazardous Materials (Green Passport) and a campaign have also been conducted for all managed vessels. In the selection process, CMA CGM requires recycling shipyards to be audited by external independent classification society in compliance with the Hong Kong Convention guidelines and EU regulation on ship recycling.

2.1 - Does the company have a written policy on ship recycling for its owned vessels?

Yes

2.1.1 - Is it publicly available?

Yes

2.1.2 - Please provide a URL

https://www.cmacgm-group.com/en/csr/environment

2.1.3 - Since when has this policy been applied?

2014

2.1.4 - How many ships does the policy apply to?

25-50%

2.2 - Does the company keep records of ships which have been sent for recycling?

Yes

2.4 - Does the EU Ship Recycling Regulation apply to the company’s owned ships?

Yes

2.4.1 - How many ships does the regulation apply to?

51-75%

2.5.1 - Please comment

Downstream facilities for managing waste and hazardous materials

2.6 - Does the policy contain restrictions based on geography and/or recycling methods?

Yes

2.6.1 - Please provide further details

CMA CGM already bans Bangladesh and Pakistan recycling yards. Our Ship Recycling strategy states that CMA CGM will select shipyard which ensure primary cutting with no block fall on intertidal zone and cutting zones strictly on impermeable floor.

2.7 - Does the company have a written policy for selecting a yard or buyer for recycling?

Yes

2.7.1 - Please provide further details including a URL if the policy is public

In the selection process, CMA CGM requires recycling shipyards to be audited by external independent classification society in compliance with the Hong Kong Convention guidelines.

2.8 - Does the company make ship recycling part of the company’s sustainability goals?

Yes

2.9 - Does the company include ship recycling information in its sustainability reporting?

No

2.10 - Does the company have a ship recycling standard* (or similarly named) in force?

Yes

2.10.1 - From when has this been in force?

2014

3.1 - Does the company have a policy to promote responsible recycling of owned vessels sold for further trading?

No

3.1.1 - Please provide further details

N/A

3.2 - Does the company impose legally binding covenants or offer commercial incentives to the buyer to encourage responsible ship recycling?

Yes

3.2.1 - Please provide further details

At this stage, CMA CGM thinks about the best strategy to integrate sustainable criteria to encourage responsible ship recycling.

3.3 - Does the company take steps to promote responsible recycling of vessels chartered for 5 years and over, released for redeployment or recycling?

Never

3.4 - Does the company take steps to promote responsible recycling of vessels chartered for 2 years and over released for redeployment or recycling?

Never

3.5 - Does the company take steps to promote responsible recycling of vessels owned through JVs?

Never

4.1 - Does the company follow a Standard Contract for the sale of vessels for green recycling (e.g. RECYCLECON from BIMCO)?

Always

4.1.1 - If an industry standard contract template used, please specify

RECYCLECON from BIMCO is now the contract used for the sale of vessel for sustainable recycling. Before that, the ship recycling contract was the “Amended Saleform 2012” including ship recycling yard and location to be used.

4.2 - Does the contract include an explicit requirement to recycle the vessel at a specific ship recycling facility?

Always

4.2.1 - Please provide further details

The ship recycling facilities is defined (plot number) in the “recycling clause” and their conditions of sale.

4.4 - Does the contract require compliance with the company’s written policy on ship recycling?

Yes

4.5 - What protection is in place for the seller to ensure that milestones can be set, that access to the ship and monitoring can be maintained throughout the ship recycling process?

The contract used for sustainable recycling ensures that due support (necessary entry pass and permission sought), amongst others, is given from the Ship Recycling Facilities to facilitate smooth visits. Also, it ensures that the Ship Recycling Facility must furnish Sellers with weekly reports.

5.1 - Does the company have a Ship Recycling Plan for each vessel?

Yes

5.2 - Does the company provide the buyer or ship recycler with a Class approved IHM, at the time of finalising the ship recycling contract?

Always

5.3 - Does the company provide all relevant ship certificates, plans, procedures and documents, to enable the yards to follow applicable ship recycling guidelines (and the relevant standards from question 2.2. that the company is aligned to)?

Always

5.4 - Does the company have specific requirements for handling hazardous materials as listed in The Stockholm Convention?

Yes

5.4.1 - Please provide further details

CMA CGM requires to respect all international rules & regulation.

6.1 - Does the company require the ship recycling facility to have a Hong Kong Convention statement of compliance issued by a Classification Society?

Always

6.1.1 - Please provide further details

Since 4 years, CMA CGM requires the recycling yards’ Statement Of Compliance of Honk Kong Convention. We record this information for internal reporting.

6.2 - Does the company carry out additional audits to verify compliance prior to recycling?

Always

6.2.1 - Please provide further details

Before 2018, CMA CGM has already audited yards in Alang, India prior to recycle vessels. The audit was based on their Health, Safety and Environmental practices and their Recycling Plan definition. Since 2018, CMA CGM has reinforced its selection process strategy and verifies, helped by Classification Society expertise, the compliance of International regulation and the compliance of our specific requirements.

6.3 - Does the company monitor yard compliance during the recycling process?

Always

6.4 - Does the company have the contractual right to stop work at the facility, in case of unsafe operations or other non-compliances?

Always

6.5 - Does the company require facilities to provide a process whereby yard workers can voice and resolve concerns and grievances regarding all workplace issues without fear of retribution?

Always

6.5.1 - Please provide further details

CMA CGM recognizes the fundamental principles of Human Rights, anti-corruption and respect of business partner, as defined by our Third Parties Code of Conduct https://www.cmacgm-group.com/en/csr/ethics-and-compliance Also, our code of ethics is now part of sale process. During the shipyard selection audits, the process whereby yard workers can voice and resolve concerns and grievances without fear of retribution is checked and is part of our evaluation criteria.

6.6 - Does the company require facilities to enable yard workers to associate and bargain collectively?

Always

6.6.1 - Please provide further details

CMA CGM recognizes the fundamental principles of Human Rights, anti-corruption and respect of business partner, as defined by our Third Parties Code of Conduct https://www.cmacgm-group.com/en/csr/ethics-and-compliance Also, our code of ethics is now part of sale process. During the shipyard selection audits, the process to enable yard workers to associate and bargain collectively is checked and is part of the evaluation criteria.