Chevo Consulting, LLC’s Post

News that a significant number of ocean carriers will no longer transit the #redsea isn’t shocking, but the results very well could be. Now that A.P. Moller - Maersk, CMA CGM, MSC Mediterranean Shipping Company and Hapag-Lloyd AG have made this move, the ripple effects on the trade will be felt in longer transits and reduced capacity. A welcome result for ocean carriers (and their shareholders) as well are marine insurance providers, but a nightmare for shippers. Not to mention - the passage via the Cape of Good Hope is also strategically worrisome. #China and #southafrica are conducting naval exercises in the area. The seas have just become more dangerous, and #globaltrade has now, officially, been upended by acts of #terrorism. What’s to come will be fascinating. Will the Chinese owned and operated firms join in the pause? It’s going to be a brutal year.

The United States must renew its commitment to a strong, reliable American maritime capability to confront emerging threats. China’s aggressive shipping expansion poses significant challenges to the United States and our allies. Global tensions have highlighted the vulnerability of maritime supply chains, and our domestic waterways main a potential pathway for increasingly belligerent adversaries to cause harm. The Merchant Marine Act — commonly known as the Jones Act — is vital to defending American interests and sovereignty amid these complex challenges. June marked the anniversary of this bedrock law and the founding of America’s Merchant Marine. These institutions enable our nation’s industrial base and naval power to safeguard global supply chains, preserve military readiness and protect our homeland security. Great editorial! #AmericanMaritime #MerchantMarineAct #JonesAct

"On top of enabling American control over our supply chain, the Jones Act is also critical to maintaining our military readiness. Our armed forces count on barges to transport military equipment between U.S. bases on our domestic waterways and rely on tugboats to help Navy ships safely enter and exit U.S. ports. The Jones Act ensures that American vessels perform these critical tasks and also that the United States maintains a robust pool of trained mariners for the military’s critical sealift needs." "The Jones Act is a vital asset for protecting our people and infrastructure from bad actors by limiting foreign vessels’ ability to roam our inland waterways and allowing the Coast Guard to safeguard our nation’s waterways using taxpayers’ critical dollars more efficiently. Without the law, the Coast Guard’s already difficult homeland security mission would be even more complex at a dangerous time." https://lnkd.in/gFtU3xWD

GREY POWER: "If there ever was a reason for people to stop whining about their taxes being spent on expensive warships, it is now, with the Red Sea piracy crisis (There is no other way to describe it.) stretching supply chains. "But already there have been complaints about US warships being employed to defend the merchant ships of foreign flags against the missiles and speedboats of the Iranian-backed Houthi rebels on the Yemeni coast. Shouldn’t these rich giant containership owners be paying for their own protection? This was one verse of this litany that registered rather harshly, as the efforts by the US to form a coalition of the willing went on. "The excellent column by our naval correspondent Trevor Hollingsbee alluded to the fact that the flags flown by the threatened merchant ships bear little relation to their ownership and unsurprisingly complicate matters. It is a recurring problem, since flags became such a matter of convenience, the colours mostly flown being those of countries that are dab hands at the business of registration, but of questionable value when there is any sort of emergency requiring more than the services of corporation lawyers. "You do not have to have too long a memory to recall the frantic re-registering of ships going into the Arabian Gulf in the 1980s, when the heroic aviators of Iran and Iraq were busily targeting tankers and everyone wanted to shelter under the US umbrella in their protected convoys. But now we have drones, and easy targeting by AIS and Iranian supplied missiles and 12 per cent of the world’s trade suddenly at risk." Read full article here: https://bit.ly/41siJbX Subscribe to the Work Boat World newsletter – https://bit.ly/3PlDbEe

🛫🔒 Export of Intangible Material: A Complex Legal Battle 🌐 The case of former Marine Daniel Duggan highlights the intricate challenges of export control in the modern world. Accused of using his expertise to teach Chinese pilots aircraft carrier landing techniques, Duggan's case sparks discussions about the global trade of intangible defense services. 💡 After serving as a Major in the US Marines, Duggan moved to Australia and later to China. He is now facing extradition to the US over charges of training Chinese pilots, violating arms embargoes and export controls. 🔍 Duggan's case brings attention to the blurred lines between civilian and military training, raising questions about the role of former military personnel in foreign training programs. 🤝 Amidst increasing tensions in the Indo-Pacific region, this case reflects the broader geopolitical dynamics, where the line between international cooperation and security interests becomes more complex. 🔐 As Duggan's legal battle unfolds, it prompts discussions about the international regulations governing the transfer of intangible military knowledge and highlights the challenges of controlling such transfers in a globalized world. What are your thoughts on the export of intangible defense services and its implications on international security? Share your insights below! #ExportControl #Geopolitics #SecurityMatters #IntangibleTrade #GlobalRelations #LegalChallenges #China #InternationalSanctions https://lnkd.in/enZdfVgy

Uncertainty poses significant challenges for the supply-chain. Here, several uncertainties persist within the coalition. Key details, such as the precise count of participating warships, the anticipated duration for these vessels to reach the region, as well as their rules of engagement and the specifics of the proposed protection scheme, remain undisclosed. Hence, the majority of carriers have opted to reroute their ships around Africa. #Shipping #Supplychain #Uncertainty #RedSea #Houthi #Cost #Delays #Geopolitics https://lnkd.in/dkSBycHQ

The UK is to lead a new Maritime Capability Coalition alongside Norway to strengthen Ukraine’s ability to operate at sea. Defence Secretary Grant Shapps confirming the transfer of two Royal Navy minehunter ships to the Ukrainian Navy. New coalition will deliver long-term support to Ukraine, including training, equipment, and infrastructure to bolster security in the Black Sea. UK’s Defence Secretary Grant said:“These minehunters will deliver vital capability to Ukraine which will help save lives at sea and open up vital export routes.“ Norwegian Defence Minister Bjørn Arild Gram said: „Our goal is to contribute to building a lasting Ukrainian naval capability. In the further work, I hope Norway, as a sea-faring nation, can contribute with maritime expertise, new technological solutions and innovative thinking.” 🇬🇧 🇳🇴 🇺🇦 https://lnkd.in/efypdeQp

Exercise #ObangameExpress2024 is in the books! 32 nations, 5,000 personnel, and 108 distinct exercise scenarios played out across West & Central Africa from May 6-17, 2024. Obangame Express, Africa’s premier maritime exercise, provides an opportunity for participating navies to improve communications, both ship to shore and between maritime operation centers (MOCs), through realistic training scenarios that build interoperability and enhance the maritime security environment. These efforts support a more secure, safe, and economically prosperous maritime environment. The exercise kicked off with an opening ceremony at the Cadet School of Libreville, May 6, as Gabonese Defense Minister Major General Brigitte Onkanowa, U.S. Ambassador to Gabon Vernelle Trim FitzPatrick, and Rear Adm. Michael Mattis, Director of Strategic Effects for U.S. Naval Forces Europe-Africa (NAVEUR-NAVAF), ushered in the 13th iteration of West and Central Africa’s largest maritime exercise. “The Republic of Gabon and our African partners are the cornerstone of Obangame Express. This collaboration has been instrumental in strengthening maritime governance and security, crucial for the economic vitality of a region where over 90 percent of trade is conducted by sea,” said FitzPatrick. “Together, in our shared Atlantic Basin, we are tackling pressing challenges posed by malign actors, such as illegal fishing, piracy, and illicit trafficking, which threaten not only local economies but also global commerce, safety, and the marine environment.” After the exercise officially began, Obangame Express participants quickly got to work. From Cabo Verde and Senegal in the north, to Angola in the south, and everywhere in between (a coastline that stretches for thousands of nautical miles), partners and allies embarked on a robust program of land-based and at-sea events throughout a vast operating area. As the host nation, Gabon served as the primary hub for exercise command and control. A multinational contingent of liaison officers (LNOs) and NAVAF personnel led the exercise from the exercise control group (ECG) in Libreville. For more, visit https://lnkd.in/dtHtEfb8. #maritimesecurity #partnershipsmatter U.S. Africa Command (AFRICOM) | U.S. Department of State | US Navy |

The Council of the European Union launched EUNAVFOR ASPIDES. The objective of this defensive maritime security operation is to restore and safeguard freedom of navigation in the Red Sea and the Gulf. “With the launch of EUNAVFOR ASPIDES, the European Union is responding swiftly to the necessity to restore maritime security and freedom of navigation in a highly strategic maritime corridor. The operation will play a key role in safeguarding commercial and security interests, for the sake of the EU and the wider international community,” said Josep Borrell, Representantive for Foreign Affairs and Security Policy. Operation ASPIDES will ensure an European Union naval presence in the area where numerous Houthi attacks have targeted international commercial vessels since October 2023. In close cooperation with like-minded international partners, ASPIDES will contribute to safeguard maritime security and ensure freedom of navigation, especially for merchant and commercial vessels. Within its defensive mandate, the operation will provide maritime situational awareness, accompany vessels, and protect them against possible multi-domain attacks at sea. Read more here: https://lnkd.in/dcCytmSD #EUdefence #EUNAVFOR #ASPIDES #maritime #navy #naval #Europe #EU #security #defence #operation #RedSea

GREY POWER: "If there ever was a reason for people to stop whining about their taxes being spent on expensive warships, it is now, with the Red Sea piracy crisis (There is no other way to describe it.) stretching supply chains. "But already there have been complaints about US warships being employed to defend the merchant ships of foreign flags against the missiles and speedboats of the Iranian-backed Houthi rebels on the Yemeni coast. Shouldn’t these rich giant containership owners be paying for their own protection? This was one verse of this litany that registered rather harshly, as the efforts by the US to form a coalition of the willing went on. "The excellent column by our naval correspondent Trevor Hollingsbee alluded to the fact that the flags flown by the threatened merchant ships bear little relation to their ownership and unsurprisingly complicate matters. It is a recurring problem, since flags became such a matter of convenience, the colours mostly flown being those of countries that are dab hands at the business of registration, but of questionable value when there is any sort of emergency requiring more than the services of corporation lawyers. "You do not have to have too long a memory to recall the frantic re-registering of ships going into the Arabian Gulf in the 1980s, when the heroic aviators of Iran and Iraq were busily targeting tankers and everyone wanted to shelter under the US umbrella in their protected convoys. But now we have drones, and easy targeting by AIS and Iranian supplied missiles and 12 per cent of the world’s trade suddenly at risk." Read full article here: https://bit.ly/41siJbX Subscribe to the Work Boat World newsletter – https://bit.ly/3PlDbEe