Bringing Insights to CNN: Maritime Global Trade Roundup 

Here are the quick highlights and analysis you need from the week in maritime global trade, powered by Maritime AI™ insights.

Windward Brings Insights to CNN After First Houthi Fatalities 

After potentially causing an ecological disaster by sinking the Rubymar, the Houthis recorded their first fatalities since they started disrupting passage in the Red Sea. A Houthi missile strike killed three sailors aboard a Red Sea vessel on Wednesday, according to U.S. Central Command (CENTCOM). 

According to Windward’s Maritime AI™ platform, the vessel was en route from Lianyungang, China, to Jeddah, Saudi Arabia.

Windward’s Maritime AI™ insights, and Co-Founder and CEO, were featured on CNN’s website to help readers better understand this complicated maritime quagmire. 

“Windward said the number of bulk carriers anchoring outside ports to the north and south of the Suez Canal surged 225% Wednesday compared with the previous day. ‘Our data shows that 61% of these (anchored) after 13:30 UTC (18:30 ET), which was the time of the attack,’ Windward CEO Ami Daniel told CNN.

He expects the attack will lead to even larger numbers of bulk carriers avoiding the Canal, through which 10-15% of world trade and 30% of container trade passes. ‘The propensity that something will happen is higher than people thought and the severity of the impact, once something happens, is (worse) than people thought,’ he added.” 

Read the article to learn an interesting fact about the exact number of bulk carriers in the Red Sea last month. 

Additional Takeaways 

This tragic event emphasizes the need for security teams to constantly reevaluate their decisions on a day-to-day basis.

It seems as if we are witnessing an escalating “attrition war,” potentially straining navies’ logistical capabilities to replenish anti-ship missiles in the region. Yemen is a distant theater and Western navies have been under-funded in the past several years, and they are now feeling the effects.

Companies harnessing AI technology will be agile enough to swiftly adjust their trading routes and decisions, enabling them to take advantage of market arbitrage. But as the situation persists, protecting shipping is likely to become increasingly difficult.

Speaking of the Rubymar, We Have Questions…

After two-plus weeks, the Rubymar, a bulk vessel carrying 21,000 tons of ammonium phosphate sulfate, has sunk. It spilled large amounts of fertilizer and oil into the Red Sea, raising significant environmental concerns. 

Key details are still ambiguous:

• The alleged vessel connection to the UK is still unclear
• The vessel is flagged in the Belize registry, an open registry. It remains to be seen how Belize will contribute to the oil cleanup efforts
• The status of the reinsurance policy of the P&I club, previously British Marine, is uncertain
• There are multiple companies registered as having different roles in Rubymar’s company management

The incident raises questions for the complex road ahead:

• Who will cover future incidents relating to the growing number of dark fleet vessels that, according to our Maritime AI™ platform, are up 29% in Q4?
• Can flags from nations such as Comoros and Gabon be relied upon to assist in managing such marine casualties?

Takeaways 

This incident is a stark example of the post-1945 world order unraveling. The “old world” – one of clear insurance policies, owners, and flags – is quickly unraveling.

Responsible cargo owners, charterers, and shipowners must ensure all their activities have coverage in the event of an emergency. Given the continuous scrutiny of their reputation as traders, the choices they make regarding their counterparties and which technologies they implement have never been more important.

The 2-Year Russia Report You Need is Live! 

Not many people expected Putin to invade Ukraine, or for the war to last two years (and counting). No one could have predicted the ways in which this conflict, which commenced on February 24, 2022, would fundamentally transform the maritime and supply chain ecosystems.

Windward’s new report contains Windward’s AI-powered insights to illuminate how Russia’s two-year-long war with Ukraine changed almost everything. A tiny sampling of the insights,  comparing 2022 vs. 2023: 

• A 216% increase in dark activities (monthly average) after a port call in Russia
• Number of direct voyages from Russia to the EU by tankers decreased by 72% (monthly average
• A 616% increase in bunkering activities in Catania, Italy

Read the report

Our CEO Attended the Tacitus Lecture at the Company of World Traders

Ami attended the Tacitus lecture at the Company of World Traders held at Guildhall late last week. Lord John Browne, Windward’s Chairman, addressed themes of progress through science and engineering, and the importance of embracing diversity and inclusion for societal advancement.

Read more