The growth of fleets registered in the newly-emerging maritime countries and maritime crises

This paper suggests the existence of a feedback relationship between the dynamic entrance of less-developed countries in shipping and the prolongation and deepening of maritime crises. The duration and extent of the transitional period of crisis depends also on the specific terms of the 'succession' procedure between fleets with different cost levels. During the last major maritime crisis, nations at a less advanced stage of development entered the maritime industry producing a service that had become-more or less-'standardized', following the Vernon product cycle more than all other cycles. The distribution of world tonnage among the different groups of countries underwent major changes as the effects of the economic crisis after 1973, which coincided with developments in the supply of tonnage, created favourable conditions for the rise of the lower cost fleets of developing countries, in a feedback relationship. The restoration of freight levels during the late 80s and early 90s, which was accompanied by a certain stabilization in the various groups of countries' shares in the world fleet, corroborates from the opposite direction the hypothesis of a close interrelationship between maritime crisis and changes in the international hierarchy in shipping.