UNCTAD Warns: Uncertainty, Volatility & Rising Costs in Global Shipping
Publish Date:
The UN Conference on Trade and Development (UNCTAD), in its Review of Maritime Transport 2025, flags a rise in uncertainty, volatile freight rates, and shifting trade routes — challenging exporters, importers, and logistics players worldwide.
1. What UNCTAD Reports
UNCTAD’s Review of Maritime Transport 2025 warns that the global shipping sector is under increasing stress. The report highlights:
- Greater uncertainty in global trade conditions
- Volatility in freight rates
- Disruption from shifting trade routes
- Increasing operational costs for carriers and shippers
2. Causes Behind the Changes
Some contributing factors cited or implied include:
- Geopolitical tensions & trade policy changes
- Fuel prices fluctuations
- Port congestion & infrastructure challenges
- Regulatory pressures and environmental policies
3. Impacts on Exporters & Importers
For businesses involved in global trade, the effects may be:
- Difficulty in predicting shipping costs → budgeting becomes harder
- Risk of sudden rate spikes, possibly eating into margins
- Need to adapt routes if certain corridors are disrupted
- Dependence on transparency and real-time info to avoid losses
4. What Businesses Must Do
To cope with these challenges, trade operators should:
- Use tools that give up-to-date vessel schedules
- Monitor freight and route trends closely
- Partner with reliable, flexible logistics providers
- Budget buffers for unexpected cost increases
