North America Shipping Agency Market

North America Shipping Agency Market Analysis

The North America Shipping Agency Market is expected to register a CAGR of greater than 4.5% during the forecast period.

• The significant expansion of the marine freight transportation business and rising demand for containerized and bulk cargo are the primary drivers of this market. Increasing worldwide exports, increased customer (shipping company) demand and the establishment of new regional trade centers are all factors driving faster growth.
• Ports are increasingly using technological advancements throughout the value chain. For example, for loading and unloading containers, technologies such as the Internet of Things (IoT), robots, and platform solutions are employed. Port storage facilities utilize big data analytics and smart metering, while industrial uses smart energy management, predictive maintenance, and smart grid technologies.
• COVID-19 has imposed significant difficulties in settling such a time period since vessels are prevented from entering particular ports, forcing them to remain in territorial waters for a prolonged length of time, causing them to be a party to pay additional fees that are the subject of dispute. The 'Revitalization Plan for U.S. Maritime Trade, Commerce, and Strategic Competition' , developed by the Northeast Maritime Institute - Center for Ocean Policy and Economics (NMI/COPE°), provides short, medium, and long-term solutions and benefits for the United States. This Revitalization Plan delivers positive national security, trade, sovereign capability, and sustainability outcomes through maritime initiatives.

North America Shipping Agency Market Trends

Increase Marintime Trade Boosting the market

As per the Maritime Publications, around 80% of the global trade by Volume and 70% of global trade by value are carried out via sea and are completely controlled by ports all over the world. Moreover, the rapid expansion of developing countries and globalization are expected to play a major role in increasing maritime trade.

In North America, 76% of all trade involves some type of maritime transportation. This percentage rises to 90 percent of global trade. Ships move USD 1.5 trillion in and out of US ports each year, and ports support more than 13 million jobs. There are 15,000 miles of waterways, seaports, and other commercially navigable waters in the United States. The U.S. ranks 1st in global naval capability, but only 21st in commercial (merchant marine) capacity. The People's Republic of China is ranked 2nd in both.

While land transport dominates Canada-U.S. trade, Canada relies heavily on a competitive international shipping industry to transport its trade with countries other than the United States. Every year, ships registered in foreign countries carry approximately 99.9% of Canada's deep-sea (non-U.S.) cargo.

Increased US Government Funding

Through the Maritime Administration's Port Infrastructure Development Program, the US Department of Transportation announced more than USD 703 million in funding for 41 projects in 22 states and one territory to upgrade port infrastructure. The funding, made possible by the Bipartisan Infrastructure Act and additional Congressional appropriations, will benefit coastal seaports, Great Lakes ports, and inland river ports, assisting in the improvement of supply chain reliability through increased port capacity and resilience, more efficient operations, lower port emissions, and new workforce opportunities. These efforts, when combined, will help bring items to shelves faster and decrease prices for American people.

The Port Infrastructure Development Program (PIDP) supports efforts by ports and industry stakeholders to improve port and related freight infrastructure to meet the nation's freight transportation needs and ensure our port infrastructure can meet anticipated growth in freight volumes. It also includes a statutory set-aside for small ports to continue to improve and expand their capacity to move freight reliably and efficiently and support local and regional economies.

North America Shipping Agency Industry Overview

The market is relatively fragmented, with a large number of local players like North American Shipping Agencies (NASA), United Shipping, Evergreen Shipping Agency, GAC North America, and Moran Shipping Agency.

These major players are investing in new technologies, such as automation, the Internet of things (IoT), and others, creating smart ports. The main focus is to create automatic, digitalized, and connected supply chains where a less physical labor force is needed. Key players are also collaborating to create supply chain synergies within their ecosystems and clusters.

North America Shipping Agency Market Leaders

North America Shipping Agency Market News

November, 2022: GAC Group, a global shipping and logistics service, has opened an office in Algeciras, Spain. The Algeciras office will provide comprehensive ship agency, husbandry, and ship spares logistics services for up to 60,000 vessels that transit through the Straits of Gibraltar every year between the Atlantic Ocean and the Mediterranean Sea.

November, 2022: United Shipping Agency, a subsidiary of Qatari Investors Group Marine Services (QIG Marine Services), facilitated the arrival at Doha Port of the cruise liner 'MSC World Europa,' which would provide a "unique hospitality experience" to World Cup Qatar 2022 supporters.