Journal of Commerce -  Mediterranean Shipping Co. (MSC) is looking to expand its port presence in the Indian region as part of a broader hub activity recalibration plan, according to multiple local industry sources.

The carrier is in discussions with China Merchants Port Holdings (CMPort) and Sri Lankan authorities to acquire a significant stake in Hambantota International Port, located about 150 miles southeast of Colombo, the sources said.

CMPort currently owns an 85% stake in Hambantota, with the remaining 15% held by the Sri Lanka Ports Authority (SLPA).

The sources expect an official announcement on the proposed investment soon. MSC officials could not be reached for comment.

The carrier has already started switching transshipment calls out of Sri Lanka from Colombo to Hambantota for regular and ad hoc sailings. One known “scheduled” Hambantota switchover was its Far East–South Africa “Ingwe” service that debuted with a June 12 call.

“We are now handling a few MSC vessels every week,” said a Hambantota terminal executive who didn’t want to be identified. “More calls are expected to come.”

Originally conceived as a multipurpose cargo complex, Hambantota began handling container traffic in April 2024 after operating as a general cargo port since 2011.

With a recent fresh investment commitment from CMPort for equipment upgrades, Hambantota’s box-handling capacity is expected to double to 2 million TEUs annually by the end of the year.

The port handled 300,000 TEUs during the first half of the year, according to available data, coming after 428,036 TEUs for all of 2025, which itself was an eight-fold increase year over year.

The Hambantota development plan was dogged by delays and political controversy. Sri Lanka’s inability to service loans extended by China’s Export-Import Bank for the project ultimately resulted in CMPort securing an 85% controlling stake and a 99-year operating license under a government-to-government debt restructuring pact.

Terminal-acquisitive carriers

MSC’s reported interest in Hambantota follows a $1.4-billion deal it set up through port arm Terminal Investment Limited (TiL) to buy 49% of Adani Vizhinjam Port in southern India. Since 2024, TiL has aggressively expanded its worldwide port footprint, with the $23-billion joint consortium bid for Hutchison’s non-China terminals the most noteworthy.

The world’s largest container line already has container terminal ownership across four key Indian port locations, including Mundra, Ennore (Chennai) and Tuticorin. There are indications that MSC will invest further into Mundra to extend the existing 1,460-meter quay, operated as part of a 50:50 joint venture with port owner Adani Ports, as its regional transshipment activity there rapidly expands.

MSC’s competitors have been equally agile. Maersk is said to have firmed up a plan to bid for SLPA’s upcoming tenders seeking to privatize the East Container Terminal (ECT) and to develop the proposed West Container Terminal 2 (WCT2) project in Colombo. Additionally, both CMA CGM and Hapag-Lloyd are looking to scale their port operations in India.

A wave of recent trade disruptions, beginning with the pandemic, have pushed cash-flush carriers to seek greater network control through dedicated infrastructure access beyond ocean-going assets. By owning and operating marine terminals, liners can better manage berth availability, vessel scheduling, yard planning, and cargo flows inland.

“These investment plans are part of a broader strategy to build integrated logistics ecosystems, thereby allowing carriers to have better influence over supply chains and thus the opportunity to serve customers better through end-to-end services,” Sunil Vaswani, executive director of the Container Shipping Lines Association (India), told the Journal of Commerce.