The tiny city-state of Singapore is the world’s leading maritime city, emerging No. 1 overall based on results of a new study conducted by Norwegian consulting firm Menon.
In the report released in May this year, Singapore came up as the leader of the Top 15 maritime capitals of the world. The ranking for this year was based on responses from 196 maritime professionals from 33 countries based on five categories: shipping centers, finance and law, technology, ports and logistics, and attractiveness and competitiveness.
“With its business friendly policies, and being strategically located on the trade route between Europe and Asia, Singapore has gained a position in the global economy few would have predicted 40 years ago. As recently as 10 years ago, Singapore lacked maritime research and education, and the lines between foreign and domestic companies were weak. Today, the city plays a key role in all aspects of the maritime industry,” said the study.
Hamburg takes second place and Oslo comes in third. Oslo has its strengths within maritime finance and technology, but is beaten overall by Hamburg because of Hamburg’s importance as a European port city.
The report said Hamburg and Oslo, together with London and Rotterdam, are duking it out to become the leading city in Europe for maritime activities.
Coming in fourth overall is Hong Kong, and Shanghai lands in fifth spot. The rest of the Top 15 comes in this order: London, Tokyo, Rotterdam, New York, Athens, Busan, Copenhagen, Dubai, Mumbai, and Rio de Janeiro.
The report also notes the increasing importance of China in the maritime industry as Shanghai joins Hong Kong on the list of top five cities.
“China is the world’s largest trading nation, has one of the world’s largest shipbuilding industries and six of this world’s ten largest ports are located in the vast country. Hong Kong is challenged as a maritime hub by the strong growth rate of other Chinese cities,” observed the report.
Dubai, meanwhile, is predicted to take the step from being the leading maritime city in the Middle East to one of the leading maritime capitals of the world.
Ranked by specific category, Athens took the title as No. 1 in terms of most important shipping center, boasting “an impressively large and strong shipowning community.” It is followed by Singapore, Hamburg, Tokyo, and Hong Kong to make up the Top 5.
In finance and law, London is ranked the leading maritime financial city of the world, as it leads in both law-related services and insurance. “The city is home to world-leading institutions, such as Lloyd’s for insurance, and English law is the most widely applied in shipping disputes,” said Menon. It is followed by Oslo, New York, Singapore, and Hong Kong.
Meanwhile, Singapore is unbeatable in the area of port services and logistics, with Hong Kong trailing in second place, followed by Rotterdam, Shanghai, and Dubai.
Singapore has the benefit of proximity to the Asian market and has “an excellent legal framework with strong support for industry from the local government,” said the paper. Moreover, the ease of doing business in Singapore, combined with the city’s effective port, puts Singapore first in the ranking.
Oslo is ranked as the world leader when it comes to maritime technology, followed by Hamburg, Tokyo, Busan, and Singapore.
The city emerged on top because one of the most important technology companies in the world, the Norwegian cluster DNV GL, has its head office in Oslo. Norway is also the largest shipbuilder in Europe, and the Norwegian maritime industry as a whole delivers some of the world’s leading equipment and services.
On competitiveness and attractiveness, Singapore is ranked as the clear number one for the most attractive business environment as well as for the most complete maritime cluster. The report highlights the stable regulatory framework and the willingness of the government to support the industry.
Oslo is ranked second, quite closely followed by London, Hamburg, and Hong Kong.
Looking five years into the future, the study predicts that Singapore will keep its position as the global leader, while Shanghai is expected to increase its importance and become the second most important maritime city. The race to become the leading city in Europe is still open between the big four.
Photo: Chensiyuan
