Greece shipping industry to face changing waters

Market - Mohit Shah - Nov 23,2018

Rating -

stars - based on 21 reviews

greece shipping industry to face changing waters

The United States has re-established a global ban concerning Iranian oil exports; hence, affecting several countries near Iran including Greece and its vital shipping sector.

The Greek shipping industry is expected to face a major turmoil thanks to President Trump and his reinstated global ban on the export of Iranian oil.

The merchant shipping convoy in Greece is known to be the largest in the world and manages a major share in Iranian oil transportation.

As per statistics, out of the 217 oil tankers which transported Iranian crude oil in the initial six months of 2018, almost 37% were controlled by the Greek merchants. The next highest was Iran's own National Iranian Tanker Company with 51 ships, followed by Denmark, China and Japan.

The White House has instructed nations to initiate reduction plans for order concerning Iranian oil. Though Greece is listed among the eight countries which have received an extension of 180-days by the U.S. The other nations from the list are India, China, Italy, Turkey, Japan, Taiwan and South Korea.

If any nation fails to abide this order, there would be serious trade penalties imposed by the US, which is something that can bring a significant economic imbalance at the global level.

According to Dimitrios Lyridis, associate professor of maritime transport, National Technical University of Athens, several Greek-owned shipping firms will accept the guidelines associated to the ban because the Unites States is planning to aim at individual companies which are linked with Iran.

Lyridis further added that, "Many of these companies are on the US stock market, so the risk of non-compliance is just too high”.