Merchant shipping in Germany developed positively last year, as the German Shipowners’ Association (VDR) announced at its annual press conference.
It continues to be a guarantee for a stable economy and the country’s security of supply. However, current developments give cause for concern.
Around 62% of German exports and 60% of imports are handled by shipping. According to the VDR, this is proof of how essential functioning maritime trade and a competitive merchant fleet are for Germany’s continued existence. The almost 290 shipping companies in the country – the majority of which are SMEs – currently account for 1,764 ships. This represents a slight decrease compared to last year, when the VDR recorded 1,800 ships. However, the total gross tonnage increased slightly to 47.4 million GT compared to 47 million GT in 2024. Accordingly, fewer but larger ships are sailing. 20% of the fleet also consists of newbuilds. According to the association, shipping secures 500,000 jobs in the maritime industry and is a “vital mode of transport for securing the supply of important goods, raw materials and energy to Germany in the event of a crisis”.
VDR calls for strong German merchant shipping
VDR President Gaby Bornheim also emphasized this: “Without a strong, independent merchant shipping industry, there is neither economic stability nor national security,” she said, “especially in times when geopolitical and trade policy risks are constantly increasing.”
The shipowners’ association cited the sabotage incidents in the North Sea and Baltic Sea, the Houthi attacks in the Red Sea and the Russian war against Ukraine in the Black Sea as trouble spots. The Arctic, the South China Sea and the Taiwan Strait are also being viewed with concern. The conflicts – some open, some smouldering – would not only disrupt global trade, but also pose a risk to the safety of German merchant ships.
The association drew particular attention to the protectionist customs policy of the USA under President Trump. “National interests must not come at the expense of the free, global flow of goods,” warned the VDR. Higher tariffs would disrupt supply chains and increase transport costs – for shipping companies, this would not only mean longer trade routes, but also considerable planning uncertainty.
“Words will not help us”
As a result, Germany also needs to strengthen its own merchant fleet and secure its existence as a strategic response to the changing global trade and security architecture in order to secure its own supplies in the long term. “We are on our own,” said VDR Managing Director Martin Kröger. “Words won’t help us – ships will.” Trump is in the process of “tearing down the West” – transatlantic cooperation is a thing of the past. “As a leading export nation and a country poor in raw materials, we are dependent on secure and free trade and sea routes,” continued Kröger. “We need a consistent national maritime security strategy, a stronger naval presence and more intensive cooperation between security authorities and the merchant fleet. Security costs – hesitation costs more.”
Although Germany is still strongly positioned as an important shipping location, the international comparison also reveals challenges: In container shipping, Germany (30.2 million GT) now ranks third behind Switzerland (34.7 million GT, in particular due to the liner shipping company MSC) and China (31 million GT) – a clear signal of the intense competition on a global level. The VDR is therefore calling for a targeted and long-term strengthening of the competitiveness of German shipping companies and Germany as a shipping location in order not to lose ground internationally.
“International competition between commercial fleets and shipping locations is high and dynamic – the competitive pressure is increasingly noticeable. We must secure the long-term competitiveness of our German merchant fleet and consistently strengthen our maritime SMEs in particular,” says Kröger.
80% of shipping companies are SMEs
The majority of German shipping companies are SMEs. 80% of companies have fewer than ten ships. Every second ship in the German merchant fleet sails under the flag of an EU country, especially the German and Portuguese flags.
This year, the association noted a particularly positive situation for young employees in the shipping industry. The number of new entrants to the shipping industry rose by 14% in the 2024 training year. With 499 new entrants at sea (previous year 418) and 214 on land (previous year 208), this shows that more and more young people are recognizing the diverse opportunities and future prospects of shipping – an important building block for securing maritime expertise and thus strengthening Germany as a shipping location, but also for the transformation of the industry towards climate neutrality.
“The shipping industry needs visionary and motivated young talent who not only want to actively shape the future of the industry, but also take the decisive step into a climate-neutral era with us. It is extremely encouraging to see how more and more young talents are recognizing the huge opportunities in shipping and are enthusiastically taking on this challenge,” explains President Bornheim.
VDR complains about administrative effort
Less positive comments were made about the administrative challenges facing the shipping industry. In addition to geopolitical and trade policy uncertainties, German shipping companies in particular are confronted with an increasingly dense administrative jungle in Europe. Duplicate reporting obligations and special regional climate protection regulations place an unnecessary burden on shipping operations and reduce competitiveness. “It is high time that Europe and Germany shed their dubious leadership role in excessive bureaucracy and special regional regulations. Streamlined processes and internationally standardized climate protection requirements are essential to secure Germany’s economic strength at sea,” says Kröger.
