The role of China in the global shipping industry, with emphasis on the dry bulk market

Georgia Kobougia and Dimitrios Kyrkilis

International Journal of Decision Sciences, Risk and Management, 2018, vol. 8, issue 1/2, 22-39

Abstract: This paper examines the role of China in the development of the global maritime industry, focusing on the dry bulk market. The gradual reforms of the Chinese economy starting from the late 70s until the country's accession to the World Trade Organization in 2001 triggered an unprecedented growth of all sectors of the shipping industry, with the dry bulk sector being in the epicentre of the trading boom. China became one of the main driving forces of the demand and supply of ship transportation. An econometric model has been developed to test the validity of the theoretical analysis. Through a multiple regression model, a series of Chinese economy-related variables, potential drivers of the demand and supply of ship transportation, have been estimated as to their effect on the dry bulk market earnings using the OLS technique. Six of these factors, including the Chinese industrial production growth, the Chinese dry bulk seaborne imports, the Chinese-owned dry bulk fleet and the Chinese shipyards' output, are proved to be statistically significant determinants of the dry bulk vessels' earnings. The evaluation of the regression results provides sufficient comfort in relation to the validity of the conclusions.

Keywords: shipping; dry bulk market; ship transportation; multiple regression; China. (search for similar items in EconPapers)
Date: 2018
References: Add references at CitEc
Citations:

Downloads: (external link)
http://www.inderscience.com/link.php?id=95105 (text/html)
Access to full text is restricted to subscribers.

Related works:
This item may be available elsewhere in EconPapers: Search for items with the same title.

Export reference: BibTeX RIS (EndNote, ProCite, RefMan) HTML/Text

Persistent link: https://EconPapers.repec.org/RePEc:ids:ijdsrm:v:8:y:2018:i:1/2:p:22-39

Access Statistics for this article

More articles in International Journal of Decision Sciences, Risk and Management from Inderscience Enterprises Ltd
Bibliographic data for series maintained by Sarah Parker ().