James J. White, Executive Director, Port of Baltimore

https://www.marylandports.com
Author picture

James J. White

We have all been monitoring the continually evolving alliances in container shipping. As they stand now, the three alliances currently represent the majority of the world’s total container capacity. The alliances have allowed the larger ocean carriers to better allocate their resources. The smaller lines can serve more destinations without spending billions to increase their individual fleets. As far as the impact on ports, it could bring new business if an existing customer in a new alliance brings a partner to a port. It could also have the opposite effect if that same existing customer cannot convince their partners to visit that port. There are still lots of wheels in motion.

The US presidential election was historic on many fronts. Now, as our nation moves forward under a new administration, the maritime industry will be closely tuned in for any changes in our trade policies. President Trump has withdrawn from the Trans-Pacific Partnership. Though it was not ratified, it was a policy that was championed by the previous administration. There has also been talk about renegotiating the North American Free Trade Agreement. Since 1993, NAFTA has shaped our country’s trade policies. Any type of restructuring will have a direct impact on our industry. Trump has also floated the idea of imposing stronger tariffs on countries such as China.

There is no other industry in the world that better reflects the global economy than maritime shipping. With some unsettled circumstances that could directly influence our industry, 2017 promises to be very interesting.