Lloyd’s List Intelligence (LLI) held its inaugural seminar, “Lloyd’s List Intelligence Japan Day,” at the Sheraton Grand Hiroshima Hotel on the 26th. The seminar featured presentations by Cichen Shen, the Asia-Pacific (APAC) Editor for Lloyd’s List, and Eric Orsini, LLI’s Global Head of Compliance & Regulatory Affairs. They provided insights into the ongoing “Red Sea Crisis” and the activities of the so-called “dark fleets” — ships that circumvent trade regulations.
(Text by Hiro Yamamoto)
(Photo by Hiro Yamamoto)
The forum attracted numerous participants from the shipping industry, financial sector, and trading companies.
■Shen’s Remarks on the Red Sea Crisis
The first speaker, Cichen Shen, explained the current crisis surrounding the Red Sea:
“As of yesterday (August 25, 2024), more than 90 vessels have been targeted and attacked by the Houthis. In July 2024, around 900 ships passed through the Bab el-Mandeb Strait, a significant decrease compared to 2,300 ships during the same period last year.”
Regarding the outlook, Shen stated, “Even if we hear news of a ‘peace agreement being reached,’ who would believe those words? It will take at least several months before safe navigation in the region can be confirmed.”
Shen also mentioned that, in the context of the U.S. presidential election, Donald Trump has proposed imposing a 60% tariff on all imports from China. “If the Democrats win, there could be a modest positive effect on the container shipping market. However, if Trump, a Republican, wins, it is likely that escalating tariffs would have a negative impact,” he explained.
On Chinese Shipbuilding, Shen Explained the Surge in New Orders.
He noted that a Chinese shipyard, which began operations in January last year, has received orders for 70 ships in just 18 months. Additionally, the yard is planning a $150 million expansion project. “Many major Chinese shipyards also have expansion plans, most of which will be realized within the next two years,” he stated.
■Strict liability
Eric Orsini, drawing on his experience working for a major U.S. bank, discussed enforcement policies concerning violations of export controls by the U.S. Office of Foreign Assets Control (OFAC), the UK, and the EU. He explained, “Whether a shipping company had any illegal intent or whether it performed adequate due diligence is secondary; the key consideration is whether any illicit activity occurred.” He highlighted that Western countries adhere to a principle of “strict liability.”
The issue of “dark fleets” is not irrelevant to Japanese shipping companies and shipowners.
Orsini expressed concern about the environmental impact posed by the expansion of dark fleets. “As of August 2024, the dark fleet includes 637 tankers, which account for 13% of the global fleet involved in international trade. One of the most troubling statistics, in my view, is that 83% of these dark fleet tankers are not covered by P&I (Protection and Indemnity) insurance,” he noted.
〆ロイズリスト・インテリジェンスが広島で初のフォーラムを開催した。ロイズリスト紙記者、規制担当アナリストが「紅海リスク」や「影の船団」について解説した。
英ロイズリスト・インテリジェンス（LLI）は26日、シェラトン・グランド広島ホテル（広島市）でセミナー「ロイズリスト・インテリジェンス・ジャパンデー」を開いた。同セミナーではロイズリストAPAC（アジア太平洋地域）エディターのチチェン・シェン（Cichen Shen）氏、LLIのグローバルコンプライアンス・規制担当責任者エリック・オルシーニ（Eric Orsini）氏が登壇。彼らは現在進行中の「紅海危機」や貿易規制を回避する船舶「ダーク・フリート〝dark fleets〟」（影の船団）について紹介した。
(Text by Hiro Yamamoto)
Photo by Hiro Yamamoto
