Block 7 (Global Flows Of Shipping + Sea Cables) Flashcards
Define trade
Movement of goods + services from producers to consumers
What percentage of global trade is carried by sea?
90%
Since the 1990s how much has the number of ships at sea increased by?
400%
By what percentage does global trade grow annually (not including recession years)?
2%
What type of nations does trade mostly occur between?
Developed, affluent nations
Increasing between developing nations
What is the top exporter of goods?
China
What are the 3 main types of trade over oceans we look at?
- Oil
- Container shipping
- Seafloor data cables
What are intermodal containers?
Large-capacity storage units of a standardised size that can be transported long distances using multiple types of transport
When did containerise happen? By who?
1956 Malcolm McLean (Newark -> Maersk)
How much did containerise cut transport costs by?
75%
What are the 3 main changes that have happened to container shipping?
1) Containerism (size of containers same since 1956)
2) Increase in size/capacity of ships (90% bigger, can now carry 18,000 containers)
3) Increase in number of ships (400% more)
What is the current issue with container shipping? Give an example
Too many ships (growth in capacity + fleet size has exceeded growth rate of trade)
E.g. Hanjan Shipping Company bankrupt in 2016
What happens to container ships when they are old? Give an example
Shipbreaking
Often in LICs - e.g. provides 40,000 jobs in Bangladesh
What percentage of global maritime trade is oil?
30%
How has oil shipping changed (3 ways)?
1) Increased capacity of tanker fleet (up 73% since 2000)
2) Size of tankers changes (based on chokepoint size)
3) Amount of oil traded changes (based on global demand)
What is the most used oil chokepoint?
Strait of Hormuz
How is shipping managed?
- UNCLOS allows ships ‘innocent passage’ through territorial waters of any state
- International Maritime Organisation (IMO) regulates shipping industry, trying to promote safety of life at sea + protection of the marine environment
Give 2 examples of environmental protection during shipping that the IMO might promote?
1) Double hulls on oil tankers
2) No washing out empty oil tankers in seawater
What 3 illegal flows across oceans are increasing alongside the increase of shipping?
1) Human trafficking
2) People smuggling
3) Illegal goods trading
How can globalisation increase illegal flows of goods across oceans?
- Deregulation of shipping (because there is so much) which is exploited
- Global marketing of illegal goods
- Emergence of global criminal organisations working across continents
Give some details for human trafficking
- Generates approx $30 bill/yr
- Approx 2.4 mill victims from 127 countries
Give some details for people smuggling
- Europe has 70,000km coastline, often poorly monitored
- E.g. 2015, over 700 guns seized in London, smuggled from E.Europe ship
How are the growth of illegal flows (people + goods) over oceans being managed?
Currently a lack of international management
E.g. human trafficking - increase in navy patrols
E.g. smuggling - more efforts to strengthen border controls
What percentage of internet data travels across the oceans via seafloor cables?
90%
Outline an example of a seafloor data cable
SEA-ME-WE-3
- Operational since 2000
- Longest (20,000km)
- 39 landing points in 33 countries
What is the distribution of seafloor cables?
- Uneven
- Focused on developed countries where demand for ICT is higher
Who owns most seafloor data cables? Why?
MNCs (e.g. Google)
They are expensive - require joint investment from MNCs
Give an example of a seafloor data cable owned by an MNC
Grace Hopper Data Cable
- Owned by Google
- To connect: US, UK, Spain
- Announced in 2020 + due to go live in 2022
How have seafloor data cables changed? Give 3 ways
1) Increased demand (increasing by 40% per yr)
2) Cheaper
3) Faster
How can seafloor data cables facilitate the 4 types of globalisation?
Economic: MNCs can expand supply chains + sell goods globally
Social: Access to foreign friends/family, access to online healthcare + education (E.g. MOOCs)
Cultural: Spread of language/music
Political: online communication on issues
Give an example of social globalisation through seafloor data cables
- Liquid Telecom partnered with charity BRCK Education
- Provides remote education to Kenyan children
Give an example of cultural globalisation through seafloor data cables
Despacito (2017)
First vid to get 3 bill views
How many seafloor cable faults are there per yr?
Approx 100
Where are seafloor cables at greatest risk?
In deep water - they are less thick
List 5 risks to seafloor data cables
1) Earthquakes - can trigger undersea landslides + erosion
2) Tsunamis - can trigger undersea landslides + erosion
3) Meteorological causes - storm surges + heavy rainfall can damage
4) Fishing + anchoring - nets + anchors drag along damaging seabed
5) Intentional cable cut - sabotage is rare but can happen
What is the most common cause of seafloor data cable faults?
Fishing + anchoring
70% of faults
Give an example of a human cause of a seafloor data cable fault
Intentional Cable Cut
- 2003
- 3 men arrested near Egypt attempting to cut a cable
- Caused 60% slower internet speeds
Give an example of a natural cause of a seafloor data cable fault
Earthquake
- 2006
- Earthquake destroyed telecom link from Taiwan-Philippines
How are seafloor data cables managed?
UNCLOS says…
- Members can lay cables on EEZ + continental shelf
- Members can establish no fishing/anchoring zones near cables
- Members can penalise others for damaging cables in their EEZ