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Global trade continues to show positive signs despite the concerns raised about world economies. However, with unusually long congestion in the North Sea, analysts at Germany’s ifW Kiel Institute for the World Economy fear that the problems rising from significant congestion, high transportation costs and the resulting supply chain issues could dampen the positive data in the latest report of the Kiel Trade Indicator.
According to their analysis, over two percent of global cargo capacity is at a standstill in the North Sea. They are warning that the ships cannot be loaded and unloaded due to the unusually long congestion, which is likely to have a future effect on trade results.
Read more in an article from The Maritime Executive.