WEEKLY UPDATE – 15/01/24

What’s happening this week in Shipping, Energy, and Geopolitics? SEG’s team examines news and trends from around the world.

Key events:

Ocean Rates: Asia-US West Coast prices fell 5%, Asia-US East Coast prices climbed 7%, Asia-N. Europe increased 8%, and Asia-Mediterranean increased 5%.

Russia continues to navigate Western sanctions through illicit trade flows, increased trade with China and India, and partnerships with countries like North Korea and Iran.

Increased tension and attacks, including on U.S.-flagged cargo ships, led to rerouting and heightened security measures in the region while gasoline shipping day rates tripled.

Reports showed a worrying increase in the abandonment of vessels and crews, particularly affecting Indian seafarers.

India-Middle East Relations: The Israel-Hamas conflict has impacted India’s diplomatic relations in the Middle East, testing its de-hyphenated policy approach.

Important movements:

The ongoing conflict in the Red Sea region is impacting global shipping routes, with companies rerouting to avoid potential threats. This is causing delays and affecting global trade.

Geopolitical tensions and supply disruptions are influencing oil prices and market dynamics, highlighting the sector’s sensitivity to global events.

The race for infrastructure dominance in Africa is heating up, with major global players investing heavily in the continent’s development​​​​​​​​​​​​.

What to watch out for:

Monitor the continuing impact of Red Sea tensions on global shipping and trade, especially in the oil sector.

Keep an eye on the development of infrastructure in Africa, as this could signify a shift in economic and geopolitical power balances.

Moses Philip Felous
+ posts

Leave a Reply

Your email address will not be published. Required fields are marked *