Lawrence Burns, Senior Vice President of Trade and Sales Management Group, Hyundai Merchant Marine North America

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Lawrence Burns

Economic maturity for countries participating in globalization will create opportunities that will impact containerized transportation. Countries such as China and India that are making the transition from a manufacturing economy to a consumer economy will cause carriers to review vessel rotations and service capacities across their entire networks. Regulations to favor cleaner manufacturing choices will have a significant impact on trades where carriers provide service. There will also be opportunities for carriers to expand their scope of coverage.

Countries supplying newly developing consumer countries will drive additional capacity and/or increased call frequency. Marine fuel sulfur limit regulations will add a variable to the equation for more rapid capacity replacement. This will concentrate the available capacity in the market with larger vessels and fewer services.

The most rapid visible changes to international buyers, sellers and intermediaries using containerized ocean transportation will come through automation and technological advancement. This includes Internet of Things, terminal robotics, autonomous battery-powered semi-truck convoys, and blockchain technology. The information gathered from automation will help carriers become nimble, both proactively and reactively, to changing market conditions more quickly. It will help to drive out costs of equipment management among other operational inefficiencies.

All these changes will improve the customer experience by removing uncertainty and increasing reliability. Carriers prepared to lead, respond, and adapt will differentiate themselves and be rewarded for it.