Chile’s Compañía Sud Americana de Vapores (CSAV) has agreed to form new joint venture operations with the Mediterranean Shipping Company (MSC), website Terra.cl reported.

The story reported the move will allow the logistics giants to merge their freight services in Asia, mainly from China to Turkey and other countries on the Black Sea.

The agreement will enter into force in February, giving CSAV access to 14,000 twenty-foot equivalent units (TEU) which are currently operated by MSC. Currently, CSAV operates 5,000 TEU in Turkey and the Black Sea.

As a second stage, the partnership plans a direct route from Asia to Romania and the Ukraine.

"This agreement is part of a process that is being carried out by the company and has the main objective of improving its global position," CSAV said.

The agreement follows a strategic memorandum of understanding (MoU) agreement with Dutch tug boat company SMIT in December.