KMI Proposes Maritime Logistics Support Measures in Response to Global Supply Chain Fluctuations

"Strengthening the Role of Maritime Transport Networks as Economic Security Services"
Emphasis on Improving the Loss Compensation System

The Korea Maritime Institute (KMI), led by President Cho Jeonghee, has released research findings containing policy alternatives for maritime logistics in response to global supply chain fluctuations.

In its study, "Research on Maritime Logistics Support Measures in Response to Global Supply Chain Changes," KMI identifies securing the stability of international maritime logistics as a national priority and raises the need to strengthen institutional support.

Based on the so-called "Three Supply Chain Laws" enacted in January last year (the Basic Act on Stabilization of Economic Security Supply Chains, the Special Act on Strengthening the Competitiveness of Materials, Parts, and Equipment, and the Special Act on National Resource Security), the study points out that maritime transport networks should be designated as "economic security services."

In particular, the study highlights shortcomings in the current loss compensation system, proposes compensation standards, and suggests improvement measures to ensure that maritime transport networks remain stable even during economic security crises.

Principal Researcher Hwang Sujin stated, "Supply chain risks have become constant due to the pandemic, the Russia-Ukraine war, and deteriorating conditions in the Middle East," adding, "Proactive support at the national level is necessary to ensure the smooth operation of maritime logistics."

The study proposes four policy directions: expanding support for maritime logistics by utilizing the national essential vessel system; introducing a loss compensation system for emergency vessel deployment; strengthening government-industry cooperation to respond to supply chain crises; and expanding strategic port infrastructure. It emphasizes that the key is to establish mechanisms to ensure operational stability so that the shipping industry can continue normal operations even in times of crisis.

KMI President Cho Jeonghee commented, "It is urgent to overhaul maritime logistics support policies to respond to supply chain crises," and added, "This study will contribute to the stability of global maritime logistics and the strengthening of national economic security."

Cover of the Report on Maritime Logistics Support Measures in Response to Global Supply Chain Changes.

This content was produced with the assistance of AI translation services.