Global sea transport heads for 5.1% leap post 2010

04 Jul 2024 CW Team

Global sea transport has surged, experiencing its largest annual increase since 2010, largely due to geopolitical disruptions and attacks in the Red Sea. Ships are rerouting to avoid conflict zones, significantly impacting carbon emissions. According to Clarksons Research, shipping activity measured in ton miles?a metric that multiplies the volume of cargo transported by the distance it sails?is set for a 5.1% increase compared to 2023, amounting to 3.2 trillion ton miles. This marks the second-largest annual rise on record.

The primary reason for this surge is the necessity for vessels to travel thousands of miles around the Horn of Africa to avoid the Red Sea and Gulf of Aden, where Yemen?s Houthi rebels have intensified attacks on ships, including sinking a vessel using a sea drone. These geopolitical disruptions have particularly affected container shipping, with about 690 ships currently rerouting around the Cape of Good Hope.

Additionally, an encouraging start to the year in terms of trade volumes has contributed to the increase in ton miles, indicating that the surge isn't solely due to longer journeys. Average seaborne trade hauls are expected to rise by 2.8% this year compared to 1.8% last year. The combination of longer distances and increased trade volumes is driving this significant growth in global sea transport. (Source:ET)

Infrastructure Transport

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