🛳️10 Must-Known Facts About Container Shipping That Will Surprise You
🔥Revealing the truths of an industry driving global trade.
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🔥Greeting Mavericks,
✨Shipping isn’t just about moving goods; it’s about connecting the world. Yet, myths cloud our understanding of this vital industry. It’s time to set the record straight with facts that will change the way you think about container shipping.
Myth #1: “Shipping costs drive consumer price inflation.”
Fact: Shipping costs account for less than 1%-2% of consumer prices. A 15% rise in shipping costs increases inflation by only 0.15 percentage points over 12 months, far less than manufacturing or energy costs.
Myth #2: “The global fleet is outdated and inefficient.”
Fact: Over 30% of the global fleet was built after 2015, and the average fleet age is just 14.2 years. Maersk alone has ordered 19 methanol-powered ships to cut emissions.
Myth #3: The Ocean Carrier Industry is Highly Concentrated
Fact: Contrary to popular belief, the container shipping market is competitive, with numerous carriers, freight forwarders, agents, and exchanges actively participating. This diversity ensures that no single entity dominates the market, fostering a healthy competitive environment
Myth #4: “Most containers are lost at sea.”
Fact: In 2023, only 221 containers were lost at sea out of 250 million shipped annually, equating to just 0.00009%. Of these, 33% were later recovered, with cargo valued at over $7 trillion globally.
Myth #5: “Shipping hasn’t embraced digitalization.”
Fact: The shipping industry is rapidly adopting digital technologies. For instance, Maersk and IBM developed TradeLens, a blockchain-based platform designed to facilitate document and information exchange throughout the supply chain. By the time of its discontinuation in 2023, TradeLens had attracted 94 participants, including more than 20 port and terminal operators and 5 of the 7 biggest shipping companies.