It would be fair to say that, so far, 2025 is proving to be quite an eventful year for shipping, starting off with the United States Trade Representative’s (USTR) announcement of a proposed multi-pronged strategy to counter Chinese maritime dominance. This sparked significant debate with some arguing it is the most consequential development in maritime trade for decades, if not a century. Whether this is true or not it has created, or at least contributed to, a climate of uncertainty.
Following this, President Trump introduced a series of import taxes on goods, arguing that tariffs will boost American manufacturing and protect jobs. This led to further discussions about potential trade wars and their implications for the US economy, global trade and the global economy. The deadline for trade talks has been extended to 1 August, with President Trump describing it as “firm but not 100% firm,” adding to the ambiguity surrounding their potential impact.
Interestingly, BIMCO’s President’s Forum findings published in April highlighted “Uncertainty – the new normal” as a key theme. BIMCO members predicted that “cost of labour, trade protectionism and industry consolidation” would significantly impact shipping over the next two years. Hans-Christian Olesen, CEO of Ultrabulk, questioned whether globalisation is a thing of the past or the future, emphasising that trade wars are detrimental to our industry. You can find the full report of the President’s Forum here. It’s evident that members were already aware of the potential threat of tariffs at the end of 2024, even if not explicitly. While the developments in 2025 around protectionism and tariffs may not have been a huge surprise to many, they are no less significant.
When we celebrated BIMCO’s 120th anniversary in May, our newly-elected President Paul Pathy spoke about the resilience of shipping. He referenced the industry’s ability to survive two global pandemics, two world wars and numerous conflicts, economic crises and trade wars. He concluded that our greatest strengths lie in our resilience, innovation and adaptability.
On this note, I’d like to highlight the work we’ve been doing on a new clause to address the USTR actions. A BIMCO subcommittee of legal and commercial experts started drafting this clause in June to address contractual uncertainties arising from the USTR’s Notice of Action. I expect the clause to be adopted imminently by the Documentary Committee, and we will alert members as soon as it becomes available.
Reflecting on our President’s words about resilience, our industry has faced enormous challenges over the past century, particularly the loss of seafarers during numerous conflicts. It’s disheartening that civilian merchant mariners continue to pay the price of geopolitics. During the First World War alone, 15 million tonnes of shipping were lost, with even greater losses in World War II. BIMCO has always been the practical voice of shipping, offering assistance during both world wars such as providing information about mariners lost at sea. I’m saddened and angered by the fact that we still face situations where civilian seafarers are affected by geopolitical conflicts.
The videos of the recent attacks in the Red Sea are horrifying to watch; I cannot imagine the real horror experienced by those seafarers onboard. We will continue to speak out on behalf of all seafarers as we did recently in a joint statement with our fellow industry associations condemning the attacks. Faithful to our purpose as the practical voice of shipping we have issued advice for members transiting the Red Sea, and we urge all members to take a cautious approach to their individual risk assessments. Find out more here.
You may have seen BIMCO quoted widely in the world’s media on this issue. We believe that on behalf of our members it is important to provide media outlets with facts and figures to help ensure coverage is accurate to help combat misrepresentation of shipping and the spread of misinformation. I believe as we enter a brave new world of artificial intelligence, the search for truth will become more complex and more crucial than ever. Being a trusted source of information for 120 years, BIMCO is well placed to help members discern the truth from the rising plethora of mistruths.
In the meantime, if you are fortunate enough to be heading off for a summer break, I wish you a restful and peaceful vacation. I would also like to take this opportunity to express my heartfelt condolences to all those who have been affected by the recent terror attacks on shipping — including the families and friends of those impacted. I also want to reaffirm my personal commitment that we will continue to advocate for the safety and security of seafarers and to speak out on behalf of our members and the wider industry.
This newsletter was originally sent to CEOs of BIMCO members during the week of 14 July 2025
