Norddeutscher Lloyd
The Norddeutscher Lloyd (NDL, North German Lloyd) became one of the world’s largest shipping firms before World War I. The interruptions of trade during wars and depressions undercut its viability, but it recovered after each major crisis until the 1960s.
Its main route covered the Atlantic and it served as a major tie between the United States and Europe as it took out emigrants and brought back staple goods. Luxury liners ferried elite passengers between Germany and America. Located in the port city of Bremen, the NDL challenged the Hapag (Hamburg-Amerikanische Packet- fahrt Company) of Hamburg for shipping preeminence in imperial and Weimar Germany. During its existence, the firm overcame many crises until it had to merge as junior partner with the Hapag in 1970.Two Bremen shippers, Carl Eduard Crusemann and Hermann Henrich Meier, started the firm in 1857. Both men came from wealthy trading and shipping families in whose firms they gained experience. Crusemann served his business apprenticeship in a Bremen firm and then decided to open his own Bremen import and shipping firm. A trip to the United States and Caribbean in 1853 made him think that a regular steamer service between Europe and the United States was both necessary and feasible. Meier had participated in the American Ocean Steam Navigation Company that offered an irregular service between Bremen and New York starting in 1847, but it failed. Crusemann convinced Meier to join him, and the two founded the North German Lloyd, a stock company, that each headed until their deaths in 1867 and 1888, respectively. They were followed by Heinrich Wiegand, who continued Meier’s policy of links to the banks and extensive involvement in other industrial enterprises in Bremen until his death in 1909. Wiegand placed more emphasis on freight, initiating the subsidiary Roland line to New York in 1892.
From the beginning, the main large Bremen shippers held the majority of stock in the firm, which tied the firm to the city. It proved highly profitable after overcoming the early difficult years. To remain viable and to expand, the company negotiated many agreements to allot the division of passenger and freight traffic with the Hapag. Those terms were continuously revised in the competition between the two firms. Another complicating factor was the international competition. For example, in 1902 the American banker and creator of the steel cartel, John Pierpont Morgan, tried to create a global marine monopoly, which resulted in intervention from Berlin that hindered German participation. Similarly, in 1913 the Hapag attempted to force a realignment of the shipping agreement so that the North Atlantic trade, which the NDL had dominated, would be changed in favor of the Hapag. The war brought a stop to the intense rivalry, which might have resulted in the NDL meeting the Hapag challenge or in one of the firms going under due to overcapacity.
The company did not always order its ships from Bremen shipyards, though most of its famous ones came from there. At first, English steamers were ordered because they had the best technology. By 1858 the NDL had established a schedule of regular bimonthly departures of its four ships moving between New York and Bremerhaven, but accidents, slow repairs, and then the American Civil War and the Danish-German war nearly led to bankruptcy. Yet the NDL survived and expanded, especially after the 1870s. By 1914 the company had 135 oceangoing ships with nearly a million registered tons (Drechsel 1994, 138). By the turn of the twentieth century, the firm commissioned huge luxury liners that competed with the British Cunard and American White Star lines, as well as the Hapag, for being the fastest across the Atlantic. The Kaiser Wilhelm der Grosse (Emperor William the Great) came on line in 1897 as the largest speed steamer in the world.
Nearly 2,000 passengers (332 in first, 343 in second, and 1,074 in third class) crossed the Atlantic at the record speed of 23 knots. At the time nearly 30 percent of all passengers crossed the Atlantic on Lloyd ships (Bessel 1957, 57; Engelsing 1961, 49ff-). Luxury, high-speed steamers attained publicity, but the company’s profits came from the emigrant traffic.By 1880s the NDL had become such a large and influential firm that the city of Bremen had to do its bidding—namely to extend the wharves and harbor at Bremerhaven due to the size of its liners and steamers. The city dredged and straightened the Weser River to Bremen and enlarged wharves at great cost and high debt to the state.
Between the 1890s and 1940s, public attention focused on races across the Atlantic to see which firm and which ship could win the Blue Ribbon for the quickest crossing. The NDL would win many times with its huge ships. But the largest profits continued to come from subsidized mail runs and shipping emigrants and troops— for example, to China during the Boxer Rebellion. Despite the slowdowns and shift from German to European emigrants going to America during the 1890s, with another shift to non-American destinations during the 1920s, and a short revival of North American destinations in the late 1940s, the NDL’s emigrant business remained a mainstay for nearly its whole existence. Simultaneously, the pleasure travels of the rich became an important economic element for these floating elegant hotels, until airplanes undercut passenger numbers in the 1960s.
At the opposite end of the social scale were the stokers, firemen, and crew. The company experienced many strikes about wages and working conditions on NDL ships before World War I. The high rate of suicide among the stokers on the coal steamers caused a major scandal in the 1890s. Because the firm received subsidies for its postal runs and because the patriotic duties of all Germans were called upon during the Boxer Uprising, the publicity had important effects.
Social conditions improved, especially under Hermann Heineken who followed Wiegand as director. He, too, continued the NDL practice of fostering the economic development of industry in Bremen; for instance, Focke- Wolff airplanes and armaments.With the armistice and the Treaty of Versailles in 1918 and 1919, Germany had to hand over nearly all of its merchant fleet to the Allies (in compensation for U-Boat losses). The NDL claimed to have only 57,000 tons in shipping capacity in 1919 compared to 982,951 tons in 1914. It did have 125 million marks in capital and received compensation from the government for its marine losses (Lambert 1929, 147). Hence, by the end of the 1920s, it could rebuild its fleet to its prewar size. To demonstrate its return to maritime greatness, the NDL commissioned two of the largest, most-powerful liners ever built: the Europa and the Bremen. Both would win the Blue Ribbon race for being the fastest ship across the Atlantic in 1929 and the early 1930s.
Building the Bremen reinforced the boom of the late 1920s in the Bremen shipyards, but also underlay the bust for the local economy when it was finished. Though the NDL did well with the Bremen in luxury passenger traffic, the shipyard workers ended up unemployed because no other ships were ordered due to the Great Depression.
World War II, just as World War I, destroyed Bremen shipping and cut the ties between North America and Germany. After the war the NDL’s resurrection proved possible due to good business relations with the United States, which controlled Bremen as an enclave during the occupation. Emigrant passenger traffic combined with cargo transport, as well as the business traveler segment, aided the NDL’s reestablishment as a major shipping line. However, the firm could not compete against low-cost and unregulated lines, and in 1970 accepted the merger offer of the Hapag. The physical tie to North America continued via the Hapag-Lloyd, but containers and cars shipped from Bremerhaven and Hamburg in the late twentieth century did not have the same impact on both sides of the At
lantic as the people and goods shipped by the NDL in the nineteenth century.
Dieter K. Buse
See also American Occupation Zone; Bremerhaven; Hamburg; Hapag; Treaty of Versailles
References and Further Reading
Bessel, Georg. 1857—1957, Norddeutscher Lloyd. Bremen: Schunemann, 1957.
Drechsel, Edwin. Norddeutscher Lloyd Bremen, 1857-1970: History, Fleet, Ship Mails. New York: Cordillera, 1994.
Engelsing, Rolf. Bremen als Auswanderhafen. Bremen: Schunemann, 1961.
Kludas, Arnold. Die Geschichte der deutschen Passagierschiffahrt. 5 vols. Hamburg: Kabel, 1986-1990.
------. Record Breakers of the North Atlantic: Blue Ribbon and Liners 1838-1952. London: Chatham, 2000.
Lambert, John T “What Business Germany Thinks: Carl J. Stimming.” Nation’s Business 17 (October 1929): 145-147.
Thiel, Reinhold. Die Geschichte der Norddeutschen Lloyd. Bremen: Hauschild, 1999ff.