The conflict in Ukraine, sanctions against Russia, and the covid-19 pandemic have had a seismic impact on businesses across the globe, the shipping and wider maritime sector has demonstrated its ability not only to continue to perform, but to adapt and deliver stability. The maritime sector continues to push forward with adoption of alternative fuels, as well as initiatives for the improvement of seafarers welfare, and digital transformation with an ever increasing amount of connective technologies. Against a back-drop of rising geopolitical tensions, the ongoing energy crises and the resultant concerns about long-term security, a significant period of change lies ahead.
Industry Risk Overview
Maritime shipping, which carries close to 90% of global trade, accounts for 2-3% of global greenhouse gas emissions (GHG) annually. So addressing this challenge will be key for the shipping industry.
Extreme weather events, including hurricanes, continue to be a particular threat to the industry and are increasingly likely due to climate change. The widespread use of operational technology, combined with advances in technology that predict the first fully autonomous vessels will be in commercial operation by 2025, brings with it potential cyber risks such as systems breaches and an increase in financially motivated ransomware that targets systems and physical assets.