Has the Ukraine-Russia conflict affected the European maritime industry?

The maritime industry has undergone a new change in recent months as a result of the war between Ukraine and Russia. This situation has caused the European economy to plunge into an inflationary spiral which experts expect to stabilize in a year and a half. Faced with this dramatic reality, the maritime sector is organizing changes and alternatives to alleviate logistics problems in Europe and the world in general.

At Stock Logistic, as a logistics operator specialized in international transportation, we are constantly working to ensure that goods are moved correctly and on time. We have a highly qualified staff to deal with possible adversities. In addition, we not only transport goods by sea, but we also offer air and land transportation services.

Many companies have suspended ship calls in the area

This war situation, which is affecting the entire European continent in particular, has a special impact on the maritime sector. In particular, there are port areas in Europe that are being greatly affected by the conflict, especially those in neighboring countries. Currently one of Ukraine’s most important ports, Mykolaiv, is closed because the world’s major shipping lines have suspended their calls on this route. They want to avoid putting the goods at risk following Russian threats to take control.

On the other hand, political and economic instability throughout Europe has made navigating certain areas dangerous. As a result, many insurers have increased the cost of cargo insurance and some of them have even decided not to insure shipping lines transiting Ukrainian and Russian waters.

Increase in freight costs

The main consequence that has emerged in Europe following the Russian invasion of Ukraine has been the further increase in freight costs. It is estimated that, in just two months, they have grown to be 30 to 40% more expensive to transport by sea. This increase is linked to Russia’s cut-off of fuel supplies to Europe, the lack of crew personnel and the instability across the continent.

Got Something To Say?

Do you have any questions about the article? Would you like to provide information on the subject? Or would you just like to tell us your opinion? Please feel free to say what you think!

Always remember to respect the other participants. Your email address will not be published.

This site uses Akismet to reduce spam. Learn how your comment data is processed.