Today’s markets confirm that international trade remains sluggish, although the ratio does vary trade by trade. The third quarter of 2016 for imports from China is generally been the busiest period for this industry as retailers stock up on goods for the beginning of the school year and the winter holiday season. For exports, the fourth quarter is busy for end-of-year profits, and expectations may be moderate at best.
The North Atlantic has little or no cargo moving. This has never happened before, showing a terrible economic signal. Cargo exports to West Africa have slowed because of government restraints on letting money out of the country.
Let’s hope recent elections will bring a positive impact to change the economic waters. One out of every six jobs in the US is maritime related. The oceans are an important part of American life, as nearly 80 percent of US imports and export freight is transported through our seaports. How important is ocean transportation to our economy, a system that carries 95 percent of US foreign trade? Very important. Let’s hope for 2017 that the shipping industry is not sinking, and let’s keep focused going forward to an economic revision in 2017.
With the new elections, hopefully sanctions with Russia will be eased by the second quarter. This will open a new corridor for global trade that was missing in 2016. This will definitely be a stimulus to international projects, adding to the economy and the shipping industry for 2017.