Charting Change: How the global shipping industry is being redrawn in real time
Not even half way through the year…
I am reminded of that quote about the only constant being change.
We’ve just gotten into spring, and we are again in a period that blogs like this tend to preface with weighty statements like ‘the global shipping industry is at a pivotal moment, being reshaped by evolving regulations, market shifts, and geopolitical currents’.
But in fairness, there is quite a lot going on:
Regulation tightens: Turning compliance into opportunity
First, environmental regulations continue to tighten, with the International Maritime Organization’s (IMO) Carbon Intensity Indicator (CII) and Energy Efficiency Existing Ship Index (EEXI) now fully in force. These measures, building on the IMO’s 2020 sulfur cap, push for a 70% reduction in carbon intensity by 2050.
In practice, there are a number of ways of coping with these rule changes. The challenge? Compliance costs are soaring, especially for smaller operators. Yet, there’s opportunity to improve here - digital tools like those Shipnet provide can help you understand and optimise fuel consumption and streamline compliance reporting, turning regulatory cost into operational improvements.
Geopolitics and trade: Adapting to a volatile world
Second, geopolitical tensions are reshaping trade routes and market dynamics. The ongoing fallout from conflicts in Ukraine and the Middle East has disrupted key chokepoints like the Red Sea, forcing rerouting via the Cape of Good Hope. This adds weeks to voyages and spikes fuel costs, squeezing margins. Meanwhile, China’s ongoing Belt and Road Initiative is opening new trade corridors, boosting dry bulk demand in Asia-Pacific.
For operators, this volatility underscores the need for real-time data analytics to adjust voyage planning swiftly. These events require a good understanding of how your business works, and how you can avoid issues, or hoover up opportunities. Tools like Helix give you unique access to your data so you can use it to take full advantage of uncertainty in the broader world.
Policy shifts: What the SHIPS for America Act means for you
Finally, a bipartisan U.S. bill, the SHIPS for America Act, reintroduced in May 2025, signals a bold move to revitalise the U.S.-flag fleet. By incentivising shipbuilding and maritime workforce development, it aims to bolster national security and global competitiveness.
For the global industry, this could mean increased demand for American-built vessels and stricter compliance standards for foreign operators docking at U.S. ports. It’s a reminder that national policies can ripple worldwide, urging us to stay vigilant about cross-border regulations. Now, as with many things coming out of the States, it is unclear how and when this will really land, but it does highlight a truth we live by at Shipnet: adaptability is the anchor of success.
Adaptability is the anchor: Technology as your competitive edge
Whether it’s leveraging technology to meet green challenges, navigating disrupted trade routes, or aligning with new legislative frameworks, the tools we use define our ability to thrive.
Our maritime ERP solutions are designed to give you clarity and control, ensuring your business sails smoothly through turbulent (metaphorical) water.
John Wills
Customer Experience Director