CONTAINER SHIPPING VIA THE NORTH SEA ROUTE-OPPORTUNITIES AND CHALLENGES

• Main Authors: Ringsberg, Henrik, Li, Zhiyuan
• Language: unknown
• Published: 2022
• Subjects: Transport Systems and Logistics; navigational feasibility; North Sea Route; geopolitical feasibility; economic feasibility; Arctic; Global warming
• Online Access: https://research.chalmers.se/en/publication/533759

PurposeImpact of global warming have increased the interests in containerised shipping via the North Sea Route (NSR). The purpose of this paper is to explore opportunities and challenges in feasibility in containerised shipping via the NSR as an alternative to the Suez Canal route (SCR).MethodologyA structured literature review on navigational, economic, and geopolitical feasibility was conducted. Mixed methods approach was applied in a case study of containerised shipping between Rotterdam and Shanghai. Simulations were used to evaluate the navigational and economic feasibility of an ice-classed ship, semi-structured interviews were used to evaluate operational costs and geopolitical feasibility. FindingsContainerised shipping via the NSR is not a navigational, economic, and geopolitical feasible option. Using the NSR create opportunities to decrease voyage time 11,5-14,7%, voyage cost by 15,7%, prevent congestion, increase goods volume in European ports. Using the NSR include challenges in increased operational costs, costs of insurance premiums, protection of the Arctic environment, and changes in geopolitical relationships. Research limitationsA container ship used between Rotterdam and Shanghai, insurance and maintenance costs are included. Further empirical studies should include other routes, ships and crew costs to ensure generalisability.Practical implications A conceptual framework to evaluate containerised shipping via the NSR is presented.Social implications The Arctic Shipping Corporate Pledge to protect the Arctic environment is included.Original/valueThe paper is one of the few which evaluate containerised shipping based on navigational, economic, and geopolitical feasibility.