The global shipping Faced with a period of unprecedented pressure, as the tension in the Red Sea, the sluggish demand and geopolitical rearrangements disturb every constant in the industry, affecting its fields insuranceroutes and investment.
Increased risks of insurance, itineraries, the uncertainty about US duties and the sharp decline in new shipbuilding are shaping a fragile environment for shipping, which forces shipowners to re -examine their strategies.
The ongoing security crisis in the Red Sea, culminating in the sinking of two Greek -owned ships off Yemen has rapidly increased transport costs and causing delays in basic supply chains, with shipping companies proceeding to radical reassessments.
Many companies, mainly in the field of containerships (liners), re -examine their plans, closely monitoring both the intentions of the Houthi and the movements of the international naval forces in the region.
Shipping executives point out that changing routes through the Cape of Good Hope – to avoid the Red Sea – and for the rest of the market implies longer times and costs, but also a need for renegotiation of contracts and rhetoric.
It is a complex puzzle that keeps the shipping community on a constant alert, with the decisions of the coming weeks being considered key for the stability of world logistics.
At the same time sources in the maritime market say that the cost of war insurance was more than doubled due to developments in the Red Sea, echoing the premiums of 0.3% to about 0.7% of a ship’s value in a few days.
In some cases, prices for a typical seven -day coverage have even reached 1%of the value of the ship at the highest level of 2024, corresponding to hundreds of thousands of dollars of additional costs per trip.
Also, the increased risk in the area has led to a portion of insurers to suspend the coverage of specific routes, making the strategic planning of shipping companies extremely difficult.
Demand in the market for containers
At the same time, the Drewry World Container (World Container) which measures the cost of transporting containers on basic marine trails. It declined for the fourth consecutive week by 5% this week.
This reduction is the immediate result of the low demand for US cargoes and is an indication that the recent increase in US imports, which occurred after the temporary interruption of higher US duties, will not have the constant impact initially expected by the market.
Drewry predicts further falls of spot prices and in the coming weeks, due to surplus capacity and weak demand.
Future changes will be affected by the possible return of duties by the Trump government, but also by US sanctions on Chinese ships, which may cause rearrangements in available capacity.
The index stood at $ 2,672 per 40 -foot container, reflecting demand weakening, especially in US transport.
Shanghai fare to Los Angeles fell by 8%, reaching $ 2,931 per 40 -foot container, while fares to New York fell by $ 5%to $ 4,839. Despite the reduction, spot prices remain higher than May 8 – 8% and 33% respectively, indicating the general volatility of the market.
A similar picture is also on the routes to Europe, with prices from Shanghai to Genoa fell 7% (to $ 3,491) and to Rotterdam by 2% (at $ 3,384).
Bending to shipbuilding in the 1st half of 2025
With shipping in the “eye of the cyclone” amid armed conflict and geopolitical tensions, in the first half of 2025 marked a decline in the dynamics of newly built orders, recording a fall in all basic sectors other than containers.
According to Xlusiv’s charter, global newly -built orders have declined a significant decline, with shipowners maintaining cautious attitude due to increased prices, low -efficiency of fare and regulatory uncertainties.
The image is particularly intense in the bulk cargo industry, where orders were reduced from 355 in the first half of 2024 to just 76 in the same period 2025, while the Greek shipowners limited their activity to just three new orders, compared to 30 in 2024.
The trend reflects the constant pressure of the Baltic Dry Index, which remains close to historically low, affected by low demand for goods and the patient Chinese economy.
As the Xclusiv Shipbrokers navigesite points out, the tanker industry faces additional challenges, with global orders being reduced by 80% – from 486 in the first half of 2024 to 102 points in the same period of 2025, and Greek orders slipping from 100 to 32 in the first half.
The profits of the tanker products in the Pacific have weakened and ongoing disorders in the Red Sea, coupled with the growing geopolitical dangers of Iran and Ukraine, have thrown large shadows in market stability. The regulatory fog surrounding carbon exemption further worsens the issue. Without a clear consensus on future propulsion and fuel technologies, many shipowners choose to postpone capital commitments until there is more clarity.
The liquefied natural gas (LNG) sector paused after the “explosion” of 2023-24, recording just 44 new orders in the first half of 2025 (from 158 in 2024), with Greek activity falling to just five points
This moderation may be due to both the limited capacity of the shipyards and the cautious climate. The LNG specialization shipyards are now closed until 2028 onwards, pushing the timetables of out -of -sync with commercial circles. In addition, the declining availability of long -term charterers for new projects makes it increasingly difficult to justify speculative investments.
On the contrary, the only bright exception was the containership sector, where global orders increased to 201 points in the first half of 2025 from 170 in 2024, with Greek shipowners doubling their participation. Interest is now turning to dual fuel ships, with ecological planning, as companies are trying to adapt their fleets to new carbon exemption requirements.
The crisis in the Red Sea, the uncertainty about propulsions, and the increased volatility of the geopolitical fronts lead the shipping industry to crossroads of choices and strategic reassignment, with newly built orders operating as a critical indicator of confidence