The prospects of the Maritime Industry for 2023

It is with certainty that we can say, the maritime industry will face further challenges in 2023. The shipping markets, both the demand and supply - across the entire sector, in general, have seen immense volatility - in particular since the covid pandemic and this will be further exasperated by the war in Ukraine. On a more positive note, although the general consensus of opinion is that this war will be lengthy, I personally take the view, in ‘reading between the lines’, that somehow these geo-political hostilities will cease sooner rather than later.

An additional matter of high concern is China’s relations with the West. We will probably see further issues related to the devastating corona virus outbreak in China - the situation has taken on horrific dimensions amid the covid surge and we are concerned about the implications it will have on shipping in general ; but most importantly, our concern is for our seamen who are the backbone of our sector. We hope that the current covid surge will not have the same impact on our crews as in the past.

Inflation will continue to have a real impact on shipping ; furthermore, financial and capital markets are expected to continue to be turbulent. As mentioned by a senior banker, ‘the era of cheap money is over’ and ‘the hawks have taken over’. One way or the other, we are all about to pay the price of money!

Global regulations and the environment will continue to play a dominant / pivotal role in maritime agendas, board rooms and decision making. Frankly and I presume there will be those readers who may share my view, I am somewhat frustrated by the degree of hypocrisy prevailing with regard to the alternative fuels. You cannot build Rome overnight – this is an undisputed fact. We all tend to agree that the ultimate fuel in the future will be hydrogen and nuclear energy. However, it will take years to implement in order for such alternative fuels to be user friendly and cost efficient. Again time is of the essence.

In the meantime, shipping will need to continue to work and lead both innovation and provide practical expertise to ensure our sector takes on a leadership role, to make the difference in 2023 for our planet in crisis. Shipping has been targeted for years as being the culprit - but let us not forget that shipping is one of the least of offenders – responsible for 2.5 % of global greenhouse gas emissions . Therefore, let’s refrain from short term pseudo solutions and focus on realistic and viable solutions which will take us into the future.

Needless to say, on a final note, we should also be prepared to expect the unexpected. That’s life ! We look forward to an exciting and safe 2023 –with synergy / συνέργεια !

George A. Tsavliris, President, CYMEPA