ROME — The coronavirus pandemic has kept most cruise ships docked. But the Italian government ruled this week that even when voyages resume, gigantic cruisers will no longer be permitted to pass Venice’s St. Mark’s Square and must find berthing outside its fragile lagoon.
Citing the need to protect the “artistic, cultural and environmental heritage of Venice,” the Italian cabinet passed a decree late Wednesday calling for “urgent provisions” to detour cruise activities and freight traffic. The government mandated that Venice’s port authority issue a public consultation — described as a “call for ideas” — to find alternative ports to handle large container ships and cruise ships over 40,000 tons and planned to build a terminal outside the lagoon.
Dario Franceschini, Italy’s culture minister, praised the decision on Thursday, citing the shock of visitors to Venice upon seeing cruise ships “hundreds of meters long and as tall as apartment buildings,” passing in front of St. Mark’s Square. He said the government’s decision had been influenced by UNESCO, the cultural protection agency of the United Nations, which had long called on Italy to reconcile the balancing of lagoon preservation with the economics of cruise and freight activity.
The government’s decision was welcomed by environmental associations that have been warning about the havoc that large ships have been wreaking on the Venetian lagoon as they make their way down the Giudecca Canal to dock at the city’s main passenger canal.
Facebook page. After years of protests, marches, initiatives and trials against committee members, the government had sided with the voices of the city: “Big ships are not compatible with the Venetian Lagoon,” the committee wrote.
June 2019 accident when a cruise liner crashed into a smaller tour ship and a wharf on the Giudecca Canal.
But even as environmentalists said they felt vindicated by the government’s decision, they expressed concerns about the government’s plans to temporarily detour cruise ships to the port of Marghera, the industrial hub on the lagoon, until the new mooring station outside the lagoon is built.
“This is the first time that a government has issued a formal decree banning ships from the lagoon, and this is without doubt enormously positive,” said Tommaso Cacciari, a spokesman for the No Big Ships Committee.
“But then the government messes up immediately after,” he said, because “it speaks of temporary solutions in Marghera.”
Mr. Cacciari said such solutions could end up lasting years and that a terminal in Marghera would not be feasible because of logistical and environmental concerns.
TOKYO — It took six days to prise free a giant container ship that ran aground and clogged the Suez Canal, one of the world’s most crucial shipping arteries. It could take years to sort out who will pay for the mess.
Cargo companies, insurers, government authorities and a phalanx of lawyers, all with different agendas and potential assessments, will not only need to determine the total damage, but also what went wrong. When they eventually finish digging through the morass, the insurers of the ship’s Japanese owner are likely to bear the brunt of the financial pain.
The costs could add up quickly.
There are the repairs for any physical damage to the Ever Given, the quarter-mile-long ship that got stuck in the Suez. There is the bill for the tugboats and front-end loaders that dug the beached vessel out from the mud. The authority that operates the Suez Canal has already said the crisis has cost the Egyptian government up to $90 million in lost toll revenue as hundreds of ships waited to pass through the blocked waterway or took other routes.
And the stalled ship held up as much as $10 billion of cargo a day from moving through the canal, including cars, oil, livestock, laptops, sneakers, electronics and toilet paper. Companies delivering goods may have to pay customers for missed deadlines. If any agricultural goods went bad, producers may look to recoup lost revenue.
Richard Oloruntoba, an associate professor of supply chain management at the Curtin Business School in Perth, Australia.
Jeff N.K. Lee, a lawyer in Taipei who specializes in commercial and transportation law.
“While the ship is just parked there, the cargo isn’t actually being damaged,” Mr. Lee said. “The only damage is that it’s delayed.”
“Say I have a batch of cloth, and on top of the time it took to come to Taiwan, it got stuck for six or seven days,” he said. “It just sat there. Will it go bad? It won’t.”
There is a caveat. The ship’s owner could have to pay for cargo delays, if its crew is found to be at fault for the accident.
Some so-called third-party claims related to delayed cargo may be covered by yet another insurer for the ship, the UK P&I Club. The same goes for any claims by the Suez Canal Authority, which operates the waterway and might file over any loss of revenue.
Nick Shaw, chief executive of the International Group of Protection and Indemnity Clubs, the umbrella group that includes the UK P&I Club, said the insurer would “make decisions together with the shipowner as to which ones had validity and which ones are illegitimate.”
Adding to the complexity of the Suez accident are the layers upon layers of insurance. Reinsurers, companies that covers the risk of other insurance companies, come into play for claims above $100 million. Between insurance and reinsurance, the ship’s owner has coverage for those third-party claims up to $3.1 billion, although few experts believe the damages will run that high.
The sheer size of the Ever Given makes the situation all the more labyrinthine. Aside from time of war, the Suez Canal has never been blocked quite so spectacularly or for as long a time as it was with the Ever Given, and this is the biggest ship to run aground.
The ship is as long the Empire State Building is tall, with the capacity to carry 20,000 containers stacked 12 to 14 high. The Ever Given is one of a fleet of 13 in a series designed by Imabari, part of a push to lower the costs per container and make the ships more competitive in an increasingly fierce market dominated by Chinese and South Korean shipbuilders.
“The bigger the ships get, the risk is whenever you have an incident like this is that you are putting more of your eggs into one basket,” said Simon Heaney, senior manager of container research at Drewry UK, a shipping consultancy. “So the claims will magnify.”
Raymond Zhong and Amy Chang Chien contributed reporting from Taipei, Taiwan. Vivian Yee contributed from Cairo and Makiko Inoue, Hisako Ueno, Hikari Hida from Tokyo.
The growth of the shipping industry and ship size has played a central role in creating the modern economy, helping to make China a manufacturing powerhouse and facilitating the rise of everything from e-commerce to retailers like Ikea and Amazon. To the container lines, building bigger made sense: Larger ships allowed them to squeeze out savings on construction, fuel and staffing.
“Ultra Large Container Vessels (U.L.C.V.) are extremely efficient when it is about transporting large quantities of goods around the globe,” Tim Seifert, a spokesman for Hapag-Lloyd, a large shipping company, said in a statement. “We also doubt that it would make shipping safer or more environmentally friendly if there would be more or less-efficient vessels on the oceans or in the canals.”
A.P. Moller-Maersk said it was premature to blame Ever Given’s size for what happened in the Suez. Ultra-large ships “have existed for many years and have sailed through the Suez Canal without issues,” said Palle Brodsgaard Laursen, the company’s chief technical officer, said in a statement on Tuesday.
But the growth in ship size has come at a cost. It has effectively pitted port against port, canal against canal. To make way for bigger ships, for example, the Panama Canal expanded in 2016 at a cost of more than $5 billion.
That set off a race among ports along the East Coast of the United States to attract the larger ships coming through the canal. Several ports, including those in Baltimore, Miami and Norfolk, Va., began dredging projects to deepen their harbors. The Port Authority of New York and New Jersey spearheaded a $1.7 billion project to raise the Bayonne Bridge to accommodate mammoth ships laden with cargo from Asia and elsewhere.
The race to accommodate ever-larger ships also pushed ports and terminal operators to buy new equipment. This month, for example, the Port of Oakland erected three 1,600-ton cranes that would, in the words of one port executive, allow it to “receive the biggest ships.”
But while ports incurred costs for accommodating larger ships, they didn’t reap all of the benefits, according to Jan Tiedemann, a senior analyst at Alphaliner, a shipping data firm.
SUEZ, Egypt — For six days, billions of dollars’ worth of international commerce sat paralyzed at either end of the Suez Canal, stalled thanks to a single giant container ship apparently knocked sideways by a powerful southerly wind.
The ship’s insurers and the canal authorities summoned the largest tugboats in the canal, then two even larger ones from further afield. They deployed diggers, front-end loaders and specialized dredgers to guzzle sand and mud from where the ship was lodged at both ends. They called in eight of the world’s most respected salvage experts from the Netherlands.
Day and night, with international pressure bearing down, the dredgers dredged and the tugboats tugged.
But not until the seventh day, after the confluence of the full moon and the sun conjured an unusually high tide, did the ship wriggle free with one last heave shortly after 3 p.m., allowing the first of the nearly 400 ships waiting to resume their journeys by Monday evening.
reconstruction of the ship’s movements through the narrow section of the canal north of the port of Suez shows the Ever Given weaving back and forth from one side of the canal to the other almost as soon as it entered the channel, gathering speed until the 224,000-ton ship tops 13 knots, or about 15 miles per hour.
internet memes about the epic traffic jam piled up, the Suez Canal Authority and the ship’s owner and insurer scrambled tugboats and dredging equipment to the scene. By the day after the grounding, they had called in a highly regarded team of salvage experts from Smit Salvage, a Dutch company.
“The time pressure to complete this operation was evident and unprecedented,” Peter Berdowski, chief executive of Royal Boskalis Westminster, Smit’s parent company, said in a statement on Monday.
images emerged on social media of the ship, for so long diagonal, once again parallel with the canal.
celebrated the moment on Twitter, writing that “Egyptians have succeeded today in ending the crisis of the stuck ship in the Suez Canal despite the great complexities surrounding this situation in every aspect.”
Ms. Stausboll said that the authorities’ often overly rosy projections during the past week left many shipowners confused about what to believe. “A lot in the shipping community would wish there had been more clarity about what was going on in Egypt from the authorities,” she said. “It does harm your reputation.”
In the absence of a faster, cheaper option, however, the Suez Canal will remain a key artery for shippers, she said. And she pointed out that most ships, including large ones, have navigated the canal without incident in the past.
Shippers have, in any case, a more pressing concern: how to resolve the chain reaction of delays that may ripple out for weeks or months even after the Suez backlog clears, as it was beginning to do by Monday night.
The first ship to pass through the canal after the Ever Given got out of the way was the YM Wish, a 1,207-foot-long Hong Kong-flagged container ship that exited the canal at about 9:15 p.m.
If there is schadenfreude among ships, the YM Wish was perhaps not feeling it. VesselFinder.com reported the YM Wish ran aground in the Elbe River in Germany only six years ago. In its case, however, it took less than a day to float again.
Marc Santora contributed reporting from London, Nada Rashwan from Ismailia, Egypt, and Thomas Erdbrink from Amsterdam.
MANSHIYET RUGOLA, Egypt — The gargantuan container ship that has blocked world trade by getting stuck aslant the Suez Canal has towered over Umm Gaafar’s dusty brick house for four days now, humming its deep mechanical hum.
She looked up from where she sat in the bumpy dirt lane and considered what the vessel, the Ever Given, might be carrying in all those containers. Flat-screen TVs? Full-sized refrigerators, washing machines or ceiling fans? Neither she nor her neighbors in the hamlet of Manshiyet Rugola, population 5,000-ish, had any of those at home.
“Why don’t they pull out one of those containers?” joked Umm Gaafar, 65. “There could be something good in there. Maybe it could feed the town.”
The Japanese-owned Ever Given and the nearly 300 cargo ships now waiting to traverse the Suez Canal, one of the world’s most critical shipping arteries, could supply Manshiyet Rugola many, many times over.
ran aground on Tuesday, blocking all shipping traffic through the canal, global supply chains churned closer to a full-blown crisis.
Already, shipping analysts estimated, the colossal traffic jam was holding up nearly $10 billion in trade every day.
“All global retail trade moves in containers, or 90 percent of it,” said Alan Murphy, the founder of Sea-Intelligence, a maritime data and analysis firm. “So everything is impacted. Name any brand name, and they will be stuck on one of those vessels.”
take the long way around the southern tip of Africa, a journey that could add weeks to the journey and cost more than $26,000 per extra day in fuel costs.
In Manshiyet Rugola, whose name translates to “Little Village of Manhood,” traffic jams of any kind would be difficult to imagine in usual times.
Donkey carts piled high with clover bumped down semi-paved lanes between low brick houses and green fields lined with palm trees, trash and animal dung. A teenager hawked ice cream from his motorcycle. Roosters offered profane competition to the noontime call to prayer. Until the Ever Given showed up, the minarets of the unimposing mosques were the tallest structures around.
“Do you want to see the ship?” a young boy asked a pair of visiting journalists, bobbing in excitement under the window of their car. Ever since the earthquake-like rumble of the ship running aground jolted many awake around 7 a.m. Tuesday, the Ever Given had been the only topic in town.
“The whole village was out there watching,” said Youssef Ghareeb, 19, a factory worker. “We’ve gotten so used to having her around, because we’ve been living on our rooftops just watching the ship for four days.”
It was universally agreed that the view was even better at night, when the ship glowed with light: a skyscraper right out of a big-city skyline, lying on its side.
“When it lights up at night, it’s like the Titanic,” said Nadia, who, like her neighbor Umm Gaafar, declined to give her full name because of the security forces in the area. “All it’s missing is the necklace from the movie.”
Umm Gaafar had asked to go by her nickname so as not to run afoul of the government security personnel who had passed through, warning residents not to take photos of the canal and generally spreading unease. Nadia said she was too intimidated to take pictures of the ship at night, though she badly wanted to.
Villagers and shipping analysts had the same question about the Ever Given, if rooted in different expertise. The ship’s operators have insisted that the ship ran aground because of the high winds of a sandstorm, with the stacked containers acting like a giant sail, yet other ships in the same convoy passed through without incident. So had previous ships in previous storms, the villagers pointed out.
“We’ve seen worse winds,” said Ahmad al-Sayed, 19, a security guard, “but nothing like that ever happened before.”
Shipping experts said the wind might well have been the major factor, exacerbating other physical forces, but suggested that human error may also have come into play.
“I am highly questioning, why was it the only one that went aground?” Captain Foran said. “But they can talk about all that later. Right now, they just have to get that beast out of the canal.”
Nada Rashwan contributed reporting.