Hamburg city still pushing for Hapag Süd merger

Merger talks between the two companies were suspended last month after the parties failed to agree on management and ownership terms for the merged entity.

A merger of the lines would enable the city of Hamburg to reduce its large stake in Hapag-Lloyd while positioning the new company as the fourth largest container line in the world. Efficiencies of scale would better place the new 250 ship German line to endure the current slump in the container market and compete with giants Maersk Line, MSC and CMA CGM.

"We will do everything to accomplish this merger in the foreseeable future," Hamburg's economy minister Frank Horch told Reuters on Monday.

Horch said the city was keen to act as a moderator to ensure an agreement acceptable to both sides was reached, although he admitted this would not be easy. There is a long history of difficult negotiations surrounding the German lines.

"But I believe that if we are determined to convince and are coordinated, then we have a good chance," Horch said.