RCCL Creates German Cruise Brand

In a surprise to a few in the cruise industry, RCCL today announced they are entering a partnership with German tourism and shipping group TUI AGto enter the German cruise market with a new joint venture, TUI Cruises, set to begin service with one ship in 2009. Two new builds are planned for 2011 and 2012. Sales and marketing will begin mid-2008, focused on "the sophisticated needs of German-speaking customers seeking a contemporary/premium cruise experience," a release stated. The line will be based in Hamburg, with Richard Vogel named CEO of TUI Cruises.

TUI had previously negotiated with Carnival, but that potential partnership was dropped a couple months ago.

It's expected, but not announced, that the first ship will come from the existing RCCL fleet.

While the US market continues to grow, the real expansion in the industry is in the European market, which is absolutely exploding. This is RCCL's foray into a market that, up to now, has been predominantly served by various Carnival brands, such as AIDA. Expect to see more and more newbuilds going to the Europe market as the US cruise industry slows down, and more Europeans come to cruising and look for newer and different options.