EMEA News
Shippers, Ports Bracing for 2015 Russian Shipping Slump
The impact of falling oil prices on Russia's economy is leading ports and shippers working Russian routes to brace themselves for reduced freight traffic as the country pares down imports, JOC reports.
Russia announced last week that the economy could shrink by four percent in the coming year following the country's first contraction since 2009.
Approximately 55 percent of Russia's consumer goods are imported.
A.P. Moller–Maersk Group, who partially owns Global Ports, the country's largest port operator, has said that it plans to continue operations as planned despite the tightened economic situation.
The Port of Hamburg, which counts Russia as its second-largest trading partner, is also reportedly feeling the brunt of the country's situation, which is having to also grapple with U.S. sanctions related to Russia's presence in the Ukraine.
Hamburg's largest container handler, HHLA, has also reportedly suffered similar problems, having seen a drop in Russian trade in recent weeks along with the 30 percent traffic decrease at its Odessa terminal due to sanctions.
Given that oil prices have plunged to five-year lows since their highs this summer, it was predicted that Russia will depend more heavily than ever on Chinese exports.
