http://www.economist.com/news/business/21574517-shipowners-face-onslaught-new-environmental-laws-sinking-under-big-green-wave
The naval shipping companies have seen a decline in their ability to ship products due to increased competition from the land and air based shipping companies so their profit margins are being diminished. They are also being hurt by the fact that the green agenda with their gas prices being up 50% and also the emissions of the companies are required to lose about 20% percent of emissions by 2020 making it really hard for them to keep up with the air and ground, maybe making shipping by water obsolete.
I am sure that UPS and FedEx are playing large roles in the diminishing profit margins for the naval based shipping companies.
ReplyDeleteToday, it seems that everything is moving towards a more efficient and eco friendly route. It makes sense that naval shipping companies are declining in use while shipping through air and land are increasing. These are far more efficient in ways of travel, and given the gas and oil prices, these are probably cost less to run.
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