185 Greek Shipping Firms Shut Down in Long-Term Decline

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The fig of Greek shipping companies fell to 588 successful 2024, continuing a semipermanent diminution from 773 firms successful 2009, a nett nonaccomplishment of 185 companies implicit 15 years, according to Petrofin Research. At the aforesaid time, the Greek-owned fleet accrued successful size and capacity, adding 214 vessels crossed each types to scope 488.6 cardinal dwt, up 2.9% from 2023.

Why is determination a discrepancy successful Greek shipping?

The agelong descent successful institution numbers began aft the 2009 fiscal crisis. While aboriginal exits were linked to the freight marketplace collapse, the latest reductions bespeak consolidation done mergers and acquisitions, Petrofin’s information indicate.

Market attraction is being driven by the hunt for standard and the costs of complying with tighter biology rules imposed by governments and authorities. “The diminution of companies with 1 oregon 2 ships continues,” Petrofin notes, calling that fleet size “non-sustainable successful the agelong run” due to the fact that of diseconomies of standard and higher regulatory burdens that necessitate much unit and systems.

Meanwhile, the fleet’s mean property went up to 14.6 years successful 2024, extending a inclination that began successful 2018. Petrofin links this to debased scrapping, slower deliveries of larger vessels and orders scheduled for 2026–2028. Even so, wide capableness increased, showing however Greek shipping companies person expanded tonnage contempt a thinning fig of firm firms.

Fewer firms, bigger firms

Scale effects are disposable astatine the apical end. The cohort of owners with 25 oregon much vessels reached a grounds 60 successful 2024, up from 57 a twelvemonth earlier, and their corporate capableness jumped by 16.5 cardinal dwt. Owners controlling much than 1 cardinal dwt roseate to 85 (from 83), accounting for 79.98% of full Greek tonnage, levels broadly unchangeable since 2017.

At the smaller extremity of the market, consolidation is reshaping the organisation arsenic companies effort to past successful an ever-expanding, competitive, planetary environment. Firms with one–two ships mislaid crushed successful some tonnage (down 2.34 cardinal dwt) and marketplace share, portion the radical operating three–four ships accrued from 116 to 122, arsenic immoderate micro-operators moved up a tier. Companies with five–eight ships shrank arsenic a group; mid-sized fleets mostly held steady.

Some managers person shifted operations to the Persian Gulf to payment from lighter regulatory and taxation regimes. These are astir commonly successful Dubai oregon Qatar, though Petrofin stresses this is not the norm.

The main operator down the falling headcount of Greek shipping companies remains consolidation, adjacent arsenic the federation retains its presumption arsenic a starring planetary maritime force. Greek shipping added 7–8% to GDP and implicit €150bn successful a decade, arsenic the assemblage supports astir 160,000 jobs successful Greece, astir 10% of the backstage payroll.

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