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How Container Ships Will Transform Global Trade

Published by Joe Webster.

How Container Ships Will Transform Global Trade

Container ships are the backbone of global trade. They carry cargo from port to port around the globe, accounting for over half of all international freight traffic, and their impact keeps growing.

By 2028, it's expected that container ships will transport $16 billion worth of goods across the oceans.

Automating the delivery of containers is the next step in the economic development of the container shipping industry, according to The Economist, which claims that new research indicates that the container has been a greater driver of globalization than all trade agreements in the past 50 years taken together.

The world's largest container ship operator Maersk Line recently announced plans to deploy fully autonomous vessels to its fleet, which already transports 12 million shipping containers yearly.

This move marks the beginning of what some experts predict will become a major change in how we transport goods around the globe.

Let's look at how automation in container shipping will transform global trade and its advantages.

a semi truck travels along a highway

Advantages of Autonomous Shipping for Global Trade

There are several ways autonomous ships might improve the global trade supply chain.

They could reduce the number of people needed to operate a vessel, thereby cutting operational costs and increasing safety.

In addition, autonomous ships could help cut fuel consumption and reduce pollution, a major win for the shipping industry.

More autonomy means fewer accidents and better efficiency. Ship operators say that even small improvements in safety and efficiency can lead to significant cost savings.

For example, a recent study found that each hour saved per voyage reduces annual fuel expenditures by $1 million.

Reduced operational costs

There are several ways autonomous ships create savings for shipping companies and customers alike.

The most obvious is that they can operate in areas where the cost of operating a ship is higher than its value, such as during bad weather or when there's little demand for cargo.

But autonomous ships also have other benefits. For example, they don’t need to be staffed with highly-trained crew members who must work long hours at sea.

Instead, those sailors can use their time more productively by performing tasks like maintenance or monitoring equipment. This frees crew members to do other things while the ship is in port.

Reduced fuel consumption

Another way autonomous ships save money is through reduced fuel consumption.

When a vessel is manned, it needs to maintain a certain speed to stay safe. If the ship slows down too much, it risks running aground or colliding with another.

This means that the captain has to constantly adjust the ship's speed to keep it moving at an optimal pace. The more time spent on this task, the less efficient the ship becomes and the more fuel it consumes.

However, autonomous vessels can operate safely at slower speeds because they can make their own decisions about how fast they should be traveling.

Increased safety

Autonomous ships could also reduce the number of accidents caused by human error, which account for about 90% of all maritime incidents. In fact, some experts believe that autonomous ships will eliminate many of these types of accidents.

For example, a recent study found that autonomous ships are less likely to collide with other vessels than manned ones because they can detect and avoid obstacles more quickly and accurately.

They also have better situational awareness, meaning they know where they are in relation to their surroundings.

autopilot technology in a vehicle

Data collection

Data collection will help companies improve operations and increase transparency. For example, autonomous ships will collect data about the ship's location, speed, course, weather conditions, and other relevant information.

These data points will help companies better understand where the ship is located, what it's doing, and whether it needs maintenance.

In addition, shipping companies can use this information to make more informed decisions regarding the ship's performance.

The data collected by autonomous ships will also be useful for research purposes.

For example, researchers may use the data to study ocean currents or climate change. The data would provide a detailed record of how the oceans change over time.

Reduced greenhouse gas emissions

Another benefit of autonomous ships is the reduction of pollution. For example, autonomous ships can reduce fuel consumption by up to 50% and, thus, decrease greenhouse gas emissions such as carbon dioxide (CO2).

This reduction would significantly alleviate the effects of global warming and protect marine life from the harmful effects of carbon emissions and pollutants.

The International Maritime Organization (IMO) has estimated that if all shipping vessels were equipped with an automatic identification system, they could save about 1 million tons of CO2 annually.

As a bonus, the IMO estimates that this will save 0.3 billion dollars annually for ship owners and operators.

In addition, there are other environmental benefits associated with autonomous ships.

For instance, they can travel farther without refueling, so they won't need to stop at ports. As a result, they'll spend less time docked and traveling between ports, reducing the fuel consumed.

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Autonomous Shipping Initiatives Make Waves

The future of ocean transport looks bright, thanks to autonomous technologies.

Companies like Amazon, Maersk, and DHL are already testing out self-driving trucks and cargo containers.

And now, shipping companies are looking into how automated systems could improve safety and cut operating costs.

Earlier this year, two of the world's first fully autonomous container ships were launched by Japanese shipping companies. These ships are Japan's solution to the problem of aging workers in its maritime workforce.

But it remains to be seen if other shipping companies worldwide will adopt fully autonomous container ships.

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Unanswered Questions

Autonomous ships hold great promise for the future of international trade. However, there are still many questions surrounding the technology.

For example, what happens when one ship encounters another vessel? How do you prevent collisions? What happens if your ship gets lost at sea? These are just a few of the issues that remain unanswered.

There's also the question of whether autonomous ships should be regulated like aircraft or automobiles.

Some argue that autonomous ships should be treated more like airplanes than cars because they can fly long distances without stopping.

Others say autonomous ships should be regulated more like automobiles because they carry passengers.

The Future of Autonomous Shipping

The many benefits of autonomous ships are evident, yet there's still a long road ahead before we arrive at the era of unmanned vessels.

As autonomous technologies continue to evolve, the industry will become increasingly efficient. In fact, some experts predict that fully autonomous ships could one day replace human crews entirely.

While autonomous ships are still far from becoming commonplace, they're already making waves in the shipping world.

a group of boxes stacked

Conclusion

The evolving technology of autonomous container ships may feel like years off, but it'll be here before we know it.

As an international leader in freight shipping and forwarding, A1 Auto Transport is attuned to the changing scenery of the shipping industry. So count on them as your go-to resource for vehicle and cargo shipping.

To learn more, visit A1 Auto Transport's blog for various informative articles.

Searching for a high-quality freight shipping company? Contact A1 Auto Transport for a free quote.

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Joe Webster always knew the auto transport industry would be a great career option. And with decades of experience, Joe is now an established consultant for A1 Auto Transport.

Joe was born in Santa Cruz, California. During high school, Joe worked as a mechanic; a job continued to work part-time during his bachelor's degree.

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A-1 Auto Transport is a disclosed agent for the following shipping companies:

CSI Logistics
435 Division Street
Elizabeth, NJ 07201
FMC 22206
Intl Cargo
45 Campus Drive
Edison, NJ 08837
NO. 17858N
Trans Global Auto Logistics, Inc.
3401 E Randol Mill Rd,
Arlington, TX 76011
NO. 018191NF
CFR Rinkens
15501 Texaco Avenue
Paramount, CA 90723
NO. 013055NF
ABC Worldwide LLC
2840 NW 2nd Ave #105
Boca Raton, FL 33431
NO. 025472F
ShipYourCarNow LLC
1160 South Rogers Circle Suite 1
Boca Raton, FL 33487
NO. 025646
Merco Air & Ocean Cargo, Inc.
6 Fir Way
Cooper City, FL 33026
NO. 021869F
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