Maersk Shareholders Reject Resolution to Ban Arms Shipments to Israel
At the annual general meeting on Tuesday, Maersk shareholders voted against an activist investor resolution that aimed to prohibit the company from shipping arms to Israel.
The proposal, filed by shareholder activist group Kritiske Aktionærer earlier this month, sought to halt Maersk, the world’s second-largest ocean carrier, from transporting military cargoes to Israel. Despite the opposition from Maersk’s board, the motion did not garner enough support during the meeting.
Maersk has consistently denied shipping weapons or ammunition to Israel. The company emphasized that its U.S. subsidiary, Maersk Line Ltd. (MLL), has never submitted a transportation plan for “classified or sensitive cargo, including weapons and ammunition.” MLL operates U.S.-flagged vessels as part of the U.S. Maritime Security Program, which includes transporting military assistance shipments in line with U.S. foreign policy objectives.
Nevertheless, critics of Maersk have raised concerns about the nature of the cargoes being transported. Investigative reports from groups like Danwatch have uncovered bills of lading indicating that Maersk-owned ships have carried significant quantities of militarily-useful goods to Israel, including items like armor-equipped trucks that meet EU definitions of military equipment.
Media outlets like Ekstra Bladet have also identified bills of lading with codes corresponding to explosive munitions, cannon parts, and cartridge components being shipped to Israel. Maersk responded by stating that these shipments contain military-related equipment as part of the U.S.-Israeli security cooperation program, rather than weapons or ammunition.
In response to the activist campaign and allegations, Maersk reiterated its commitment to international standards and responsible business practices. The company emphasized its strict policy against shipping weapons or ammunition to active conflict zones and pledged to comply with all relevant regulations.
Despite facing challenges and criticisms, Maersk remains steadfast in its position and business practices. The company condemned the dissemination of inaccurate information and highlighted the need to operate ethically and in accordance with global norms, especially in regions of conflict.