Cost Effectiveness Analysis in Short Sea Shipping: Evidence from Northeast Asian Routes

Zheng, Xiaofeng; Yulseong, Kim; Shin, Youngran

doi:10.3390/jmse9121340

Cited by 11 publications

(17 citation statements)

References 31 publications

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“…It was illustrated in the study between South Korea and Japan that the lead time advantage of roro based maritime transportation from departing seaport gate to arrival seaport gate is approx. 65%-70% lower than container ships (Zheng et al, 2021). This lead time saving arises mostly from port handling as in roro ships it is very efficient and has short duration (Zheng et al, 2021).…”

Section: Drivers and Enablersmentioning

confidence: 99%

“…65%-70% lower than container ships (Zheng et al, 2021). This lead time saving arises mostly from port handling as in roro ships it is very efficient and has short duration (Zheng et al, 2021). In addition to this, time spent at sea also has shorter duration, but the difference is not so dramatic as what it is at seaport operations.…”

Section: Drivers and Enablersmentioning

confidence: 99%

“…It is known that roro and ropax ships are mostly competitive because of speed and lead time reduction and are not necessarily the lowest cost compared to lift on-lift off ships (like container ships). Customers favor roro and ropax within freight transportation as their supply chains become more compressed, where chains could be managed with lower inventory levels and they are more reactive and flexible on market changes (Zheng et al, 2021). It was illustrated in the study between South Korea and Japan that the lead time advantage of roro based maritime transportation from departing seaport gate to arrival seaport gate is approx.…”

Section: Drivers and Enablersmentioning

confidence: 99%

“…In addition to this, time spent at sea also has shorter duration, but the difference is not so dramatic as what it is at seaport operations. However, it should be emphasized that roro and ropax freight transportation is never a low cost, and freight users of it typically have more valuable cargo to be transported (Zheng et al, 2021).…”

Section: Drivers and Enablersmentioning

confidence: 99%

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Ropax Short-Sea Shipping and Covid-19 Pandemic: Case of Finland

Hilmola¹

2022

KMI Int. J. Marit. Aff. Fish.

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Traveling was constantly growing among European Union (EU) countries before Covid-19 pandemic. In many coastal regions, passenger and freight transportation were tied together with roll-on/roll-off passenger (ropax) ferries. However, since the pandemic started, the passenger side of ropax operations has been under numerous new restrictions, bans and requirements. These have changed rather much during the pandemic era in Finland, creating more distortion and profound volume loss. In 2020, governmental support mechanisms were implemented to avoid significant losses. Thus, freight transportation has sustained. In addition, some restructuring and changes of ropax ferry routes have taken place. Now ropax companies concentrate on shorter routes, and volumes are more devoted to certain seaports. However, the situation did not improve in 2021, and subsidies continued, revenues were barely growing, and profitability was limited. Regression models suggest that Covid-19 resulted in a loss of 14.9 mill. passengers and 1.178 bill. EUR as revenue, where unitized freight volumes were unaffected.

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Section: Drivers and Enablersmentioning

confidence: 99%

Section: Drivers and Enablersmentioning

confidence: 99%

Section: Drivers and Enablersmentioning

confidence: 99%

Section: Drivers and Enablersmentioning

confidence: 99%

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Ropax Short-Sea Shipping and Covid-19 Pandemic: Case of Finland

Hilmola¹

2022

KMI Int. J. Marit. Aff. Fish.

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“…In their recent study. Zheng et al ( 2021 ) show that even though ro-ro (roll-on-roll-off) traffic is considerably more expensive than other modes of sea transport, e.g. lo-lo (lift on–lift off) and bulk transport, ro-ro vessels has a substantial impact on the reduction in total logistics cost of the entire supply chain cycle.…”

Section: Success Factors Of Short Sea Shippingmentioning

confidence: 99%

Recovery of ro-pax ferry traffic from covid-19 under tightening environmental regulations: case Helsinki-Tallinn

Tapaninen

Palu

2022

J. shipp. trd.

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In 2020, the number of passengers on international ro-pax ferries collapsed due to the pandemic caused by the Covid-19 virus and subsequent travel restrictions. At the same time, both the International Maritime Organisation and the European Union are setting stringent regulations on carbon dioxide emissions from ships. In this research, we look at what options companies offering ro-pax services have to recover from the Covid-19 pandemic under-tightening environmental regulations and the future options for the industry. The case under study is ro-pax ferry traffic between Helsinki and Tallinn. It is one of the busiest international passenger ferry connections in the world. The economics of transport are based on large high-speed vessels, the combination of passengers and cargo, and sales onboard. We created four scenarios for the traffic: to continue the same high-speed ro-pax system as in 2019, to reduce the number of vessels, to switch to new types of ships, to slow down the speed of the vessels or to divide traffic into faster and slower ships. The research contributes to discussion of competitive strengths of ro-pax transport.

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