TMS Ship Finance & Trade Conference 2020Cimbria Bulk Equipment A/SCleveland Cascades LtdTMS Tanker Conference 2020Sailors SocietyThe Wolfson Centre for Bulk Solids Handling Technology
  • Port of Stockton
  • Vigan
  • Port of Vancouver USA
  • Cleveland Cascades Ltd
  • TMS Ship Finance & Trade Conference 2020
  • TMS Webinar Series COVID-19: A Leadership Perspective - ‘Scanning the Financial Horizons’

New and established hubs showcase offering at Posidonia

(Posted on 08/06/18)

With global economic activity shifting from the West to the East, competition between Middle Eastern and Asian maritime nations intensifies in their bid to attract a bigger slice of the global shipping industry’s diverse revenue streams.

As a result, established Far Eastern shipping centres in Hong Kong and Singapore are already capitalizing from the eastwards focus of global economic activity while new giga-projects such as Saudi Arabia’s US$5.2billion International Maritime Industries (IMI) mega yard spring out literally from the desert, offering more alternatives to shipowners and providing more competition to the continent’s maritime service and manufacturing sector providers.

“As trade grows and the control of ships and cargoes shifts eastwards, we are seeing the emergence of new clusters and shipping centres. Increasingly from Vancouver to Hong Kong and Dalian to Ras Al Khair in Saudi Arabia, stakeholders in maritime sectors are looking to create a fertile environment to support and drive trade and innovation providing the services and ecosystems that ship owners, ship managers, ports, service suppliers and startups need in our fast developing and digital world,” said Nicholas Brown, Communications Director, Marine & Offshore Division, Bureau Veritas.

Posidonia 2018 was the venue chosen by Saudi Arabia for the global launch of a flagship maritime project designed to feed into the Kingdom’s Vision 2030 for economic and social reform. Located on the east coast of the country, the cluster will eventually be a fully-fledged maritime centre. Anchored by the US$5,2billion, giga International Maritime Industries (IMI) ship building facility, the King Salman International Complex aspires to attract a growing portfolio of international clients from both hemispheres banking on the cost efficiencies its fully integrated set up is claimed to be able to provide.

“As the flow of trade moves from the West to the East, our strategic location, being a mid-point in that route and on major international shipping routes, can provide customers the convenience of timely maintenance repairs & overhaul (MRO) and newbuild projects thanks to all our build-in efficiencies, integrated supply chain processes, production schedules and state-of-the-art facilities. The cluster will have the ability to offer the full suite of products and services in one mega location,” said Hani Mohammed, Chief Financial Officer, IMI.

In the meantime, the more mature Far Eastern maritime hubs are already seeing significant increase in demand for their services and real estate offering, mainly from European shipping companies looking to tap into the burgeoning Asian economies of South East Asia and China.

According to Paula Kant, Head, Investment Promotion of InvestHK, a Government of Hong Kong entity, the main gateway port to mainland China is reaping significant benefits: “We have seen companies from around Europe, Greece, Cyprus, Ireland, Benelux, North Europe and the Western Med countries of Spain and Portugal setting up offices in Hong Kong. They come from across the full spectrum of maritime activity including financial services, Fintech and engineering companies. They come to Hong Kong because of our regional role and infrastructure and international population with language skills from around the region.”

As to how does Hong Kong view the potential impact on its booming business from the emergence of new maritime clusters in the Middle East, Kant is confident that there is room for everyone.

“Thinking of Dubai and Saudi Arabia, they are very much growing their shipping industry capabilities and offering, and they are well positioned to tap into the markets of the Gulf states (GCC) and the Indian subcontinent.

“Hong Kong positions itself as the gateway to mainland China as a special administrative region with special ties to China. Also Hong Kong, apart from being a gateway to China for the maritime sector it is also a place with a lot of expertise, a large merchant fleet and the ambition to become a centre of maritime excellence, in all sectors including insurance, technical expertise, arbitrage, Fintech and ship financing.

“Apart from the 1.4 billion market of mainland China, for which we are the natural gateway, Hong Kong also wants to have a regional function because from there you can reach out to the markets of South Korea, Japan, Philippines and Vietnam,” she added.

Latest News

ICS launches engine room safety guidance

(Posted on 06/07/20)

The design, complexity and arrangement of engine rooms across the global shipping fleet vary far more... Read more


North completes Sunderland Marine integration

(Posted on 06/07/20)

North P&I Club has completed integration of the Sunderland Marine Insurance Company Limited business... Read more


New NI President to focus on three challenges

(Posted on 06/07/20)

The newly elected President of The Nautical Institute, Jillian Carson-Jackson has vowed to help the... Read more


ClassNK amendments to class rules

(Posted on 06/07/20)

Leading Classification Society ClassNK has released amendments to its Rules and Guidance for the Survey... Read more


Hydrex repairs bulker scrubber overboard pipe

(Posted on 06/07/20)

Last month Hydrex diver/technicians carried out scrubber overboard pipe repairs in Belgium and the Netherlands... Read more


Four new ultramax bulkers for Norden

(Posted on 01/07/20)

Following the sale of 10 ships since 2018, Dampskibsselskabet Norden has entered into a newbuilding... Read more


Strategic maritime e-learning partnership formed

(Posted on 30/06/20)

V.GROUP, the leading global provider of ship management and marine support services, and Ocean Technologies... Read more


Report investigates role of tech in crew welfare

(Posted on 30/06/20)

Inmarsat, the world leader in global, mobile satellite communications, has published a new report focusing... Read more


Safety investment from MENAS

(Posted on 30/06/20)

The Middle East Navigation Aids Service (MENAS) has recently invested $20,000 in upgrading its Aids... Read more


Crews pushed to limits on Day of Seafarer

(Posted on 25/06/20)

Despite a universal campaign from all sectors of the shipping industry to classify seafarers as key... Read more


TOC EventsTBA GroupViganPort of StocktonPort of Vancouver USATelestack
  • TMS Tanker Conference 2020
  • Sailors Society
  • Bühler GmbH
  • TMS Awards 2020

Subscribe to our newsletter

Keep up to date with the latest global news in bulk cargo handling and shipping