The German Shipowners’ Association (VDR) emphasizes that despite geopolitical turbulence and uncertain times in international trade policy, German shipping remains a reliable guarantor of the economic strength and supply security of the Federal Republic.
According to data presented at the Association’s annual press conference, around 62% of Germany’s exports and 60% of imports are handled by sea – a clear indication of how essential functioning sea trade and a competitive merchant fleet are for the continuation of our export nation.
With nearly 290 shipping companies based in Germany and a fleet of 1,764 ships, as well as a gross tonnage (GT) of 47.4 million, Germany ranks seventh among the world’s leading maritime nations again this year. Germany’s merchant fleet secures approximately 500,000 jobs in the maritime economy and serves as the vital transport mode in times of crisis to ensure the supply of important goods, raw materials, and energy to the Federal Republic, the Association informed.
Without a strong, independent merchant shipping industry, there is neither economic stability nor national security – especially in times when geopolitical and trade-policy risks are continuously increasing
… said VDR President, Gaby Bornheim.
Between geopolitical crises and protectionist shifts
Increasing tensions on important international sea trade routes – from the South China Sea through the Taiwan Strait to the waters around the Black and Red Seas – are not only disrupting global sea trade but also pose a significant risk of attacks on German merchant ships and blockages of critical sea lanes for German imports and exports, VDR cautioned.
The VDR warned that national interests must not come at the expense of free, global goods flows. The rising protectionist tendencies in global trade policy also challenge German shipping. Higher tariffs and restrictive measures aimed at closing off national markets lead to fragmented supply chains and rising transport costs. For shipping companies, this means not only potentially longer trade routes and higher operating costs, but especially considerable planning uncertainties in global goods traffic.
These challenges are further exacerbated by the latest protectionist announcements from the USA. The introduction of 25% tariffs on European goods announced by President Trump, as well as a planned imposition of multimillion-dollar fees on ships built in China when entering US ports, are causing significant uncertainty within the German and global merchant fleet.
At the same time, it is increasingly possible that the US government will withdraw from security-related commitments. This also raises the need for Germany to secure its own supply in the long term and, as a strategic response to the changing global trade and security architecture, strengthen its own merchant fleet and ensure its sustainability.
As a leading export nation and resource-poor country, we rely on secure and free trade and sea routes. There is a need for a consistent national maritime security strategy, an increased naval presence, and intensified cooperation between security authorities and the merchant fleet. Security costs – hesitation costs more,
… warned VDR Managing Director Martin Kröger.
German shipping competitiveness
Although Germany remains a strong maritime location, international comparisons reveal challenges: In container shipping, Germany (30.2 million GT) now ranks third, behind Switzerland (34.7 million GT) and China (31 million GT) – a clear signal of the intense global competition. Therefore, the VDR calls for a targeted and long-term strengthening of the competitiveness of German shipping companies and the German shipping location to maintain international standing.
The international competition between merchant fleets and maritime locations is high and dynamic – the competitive pressure is increasingly noticeable. We must secure the competitiveness of our German merchant fleet in the long term and consistently strengthen our maritime small and medium-sized businesses,
… said Kröger.
The majority of German shipping companies are medium-sized. 80% of companies operate fewer than ten ships. Half of the ships in the German merchant fleet sail under the flag of an EU country, primarily under the German and Portuguese flags.
Encouraging number of newcomers
The number of newcomers to the shipping industry has risen by a 14% in the 2024 training year. With 499 newcomers at sea (previous year 418) and 214 on land (previous year 208), more and more young people are recognizing the diverse opportunities and future perspectives of shipping – an important step in securing maritime expertise and strengthening Germany’s shipping industry, as well as contributing to the industry’s transformation toward climate neutrality.
Bureaucracy hinders growth
In addition to geopolitical and trade-policy uncertainties, German shipping companies are facing an ever-denser jungle of regulations in Europe. Double reporting requirements and regional special regulations in climate protection unnecessarily burden ship operations and reduce competitiveness. “It is high time for Europe and Germany to abandon their dubious leadership role in excessive bureaucracy and regional special regulations.
Streamlined processes and internationally consistent climate protection requirements are essential to securing Germany’s economic strength at sea, the Association concluded.
