In a sweeping move set to redraw the global shipping map, Hapag-Lloyd To Acquire ZIM for $4.2 billion in cash, cementing its rank as the world’s fifth-largest container carrier — but igniting political and labor unrest in Israel.
The German shipping group confirmed Monday it had agreed to buy Israel-based ZIM Integrated Shipping Services, a deal that sent ZIM shares soaring 50% while dragging Hapag-Lloyd’s stock down 8%. The acquisition will be financed through existing cash reserves and up to $2.5 billion in external funding, the company said.
If completed, the merger would lock in Hapag-Lloyd’s position among the top five shipping lines globally, commanding a modern fleet exceeding 400 vessels — a maritime armada stretching across trade routes like steel threads stitching continents together.
Backlash Erupts in Haifa
The announcement sparked immediate resistance in Israel. Workers at ZIM’s headquarters in Haifa launched a strike Sunday, protesting the sale. The company confirmed the labor action and said management was negotiating with the union to limit disruption, though the strike remained underway.
Haifa Mayor Yona Yahav warned that transferring ownership abroad threatens national security. Even with Israeli private equity involvement, he argued, placing control of a strategic shipping operator into foreign hands raises serious concerns.
Hapag-Lloyd CEO Rolf Habben Jansen acknowledged the criticism but maintained the strategic rationale for the transaction was compelling.
