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Wah Kwong Maritime Transport transforms itself into a fully-fledged owner-operator as shifting global trade routes drive sustained demand for versatile mid-sized bulkers

SHIPPING’S famed resilience and adaptability is all well and good, but in an era where agility is the new currency for the industry, not everyone is as nimble as they might want to be.

The dizzying pace of change seems to have been a consistent thread running through industry discussions this year.

We began the year talking to audiences about the unprecedented convergence of disruptions — trade wars, sanctions and geopolitical flashpoints all demanding attention simultaneously.

At our recent Tokyo Forum, those concerns were all still there and speed was once again the topic of the day.

Dealing with the complexity of risk and compliance challenges is one thing, but the fundamental challenge of operating in an environment where regulatory frameworks shift faster than businesses can adapt is starting to hit home.

When we polled Lloyd’s List readers at this point last year, more than two thirds of respondents conceded that the “average” shipping company is not equipped with sufficient expertise to navigate regulatory compliance over the next five years.

When we convene our annual Outlook Forum on December 11, we fully expect this year’s results to have hardened.

No shipowner would admit to being average  — their egos would not allow it  — but there is clearly a gap to be filled here.

It is a difficult time to be a shipowner. To be a small shipowner is increasingly unmanageable given the burdens accumulating on businesses ill-equipped to deal with them.

Perennial predictions of consolidation under such pressures have never played out before, but as younger generations become stewards of the resolutely fragmented middle of shipping’s average companies, questions will inevitably be asked.

At Lloyd’s List events, as with others, the public messages on stage continue to be defiant: in times of “geopolitics on steroids” shipowners must respond quickly.

Off stage, some voices are becoming more hesitant about the future, less convinced that constant disruption is going to buoy them through the turbulence, and more exhausted by the relentless pace of change.

Richard Meade
Editor-in-chief, Lloyd’s List

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