(Reuters) -Euronav expects a rise global sea trade this year driven by the rerouting of Red Sea shipping though a change in the U.S. presidency and a slowdown in China’s economy are risk factors, the Belgian oil tanker company said on Thursday.
Seaborne trade is on track to increase by 5.1% this year, with the Red Sea re-routing contributing approximately 3.0% to tonne-mile trade growth, the company said in a press release.
Currently experiencing some of its highest returns in decades, the shipping industry expects this trend to continue, if the status quo holds, the group said.
Many container ships are currently taking a longer route around the Horn of Africa due to attacks by Yemen’s Houthi militants in the Red Sea region, in what they say is solidarity for Palestinians in Gaza.
Euronav noted that a change in the U.S. presidency in November’s elections could have an impact on global geopolitics, with ocean shipping being a key area of…
