PS 111, Professional Studies The Maritime Industry

The Maritime Industry IS … the prototypical international business, the hub of an inter-modal, global transportation network, a highly technological enterprise, the application of atmospheric and ocean sciences, national defense and security

The Maritime Industry IS … International Business Defined in terms of moving goods across borders -- it is inherently global Over 95% of all U.S. import & export tonnage is moved by ship Requires contracting, financing & marketing in an international environment, and a knowledge of … Economics & Labor Relations International & Admiralty Law International Relations & Trade Policy

The Maritime Industry IS … Inter-modal Transportation Coordination with air, rail, & truck transportation essential Short-term warehousing & “just-in- time” inventory functions require knowledge of … Management & Logistics Marketing & Labor Relations Port Security integral to Terminal Operations

The Maritime Industry IS … Engineering & Technology Energy conversion systems for propulsion Power plant instrumentation, automation & control Ship design, construction & repair Voice, data & navigation communications systems Pollution monitoring, abatement & recovery technology Off-shore platform design & construction

The Maritime Industry IS … Atmospheric & Ocean Science Weather forecasting & vessel routing Ocean resources – biological & mineral Renewable energy sources Fundamental Research in a variety of areas Climatology Marine Biology Geology Ecology

The Maritime Industry IS … National Defense & Security Sea-lift capacity Underway replenishment (UNREP) Pre-positioned logistical support Maritime surveillance Naval Engineering Combatant vessel design Sea-based weapons systems Port security Transportation Workers Security Credentials (TWIC) Vessel & cargo inspection

Maritime Industry The Maritime Industry IS … Import-export practice Energy conversion & power plant operation Poodle training Military supply lines Weather forcasting & routing Cargo handling technologies Trade policy & international relations Automation & control systems Pollution monitoring & abatement Communications: Voice, Data & Navigation Logistics & terminal operations SHIPPING

A little Maritime Industry history Early 19 th century ( ) Congress grants reduced tariffs for goods imported on U.S. ships (1795) Interstate commerce predominately by water “Cabotage” legislation (1817) restricts domestic shipping to U.S. vessels Erie Canal makes NYC port of entry for interior America By 1840’s, U.S. challenging England for domination of world maritime trade

A little Maritime Industry history Late 19 th century ( ) Civil War decimates U.S. commercial shipping By 1870’s, less than 30% of imports in U.S. ships NYS legislature authorizes NYC to establish a “Nautical School” (1873) & Congress supplies US Navy vessel, St. Marys (1874) Transcontinental railroad competes with “round the Horn” Clipper Ships in inter-coastal trade Iron- (later, steel-) hulled, steam vessels begin to replace wooden sailing ships Spanish-American War renews pride in American seamanship & regenerates U.S. maritime industry

A little Maritime Industry history Early 20 th century ( ) Great White Fleet – US Battle Fleet circumnavigates the globe issuing in “The American Century” Panama Canal – Intercoastal shipping competes with railroads, East coast/Far East & ‘round-the-world trade increases World War I – 122 Hog Islanders built, become the backbone of inter-war merchant fleet Jones Act – U.S. Cabotage Laws reaffirmed World War II Enormous sea-lift capacity constructed (Liberties, Victories, T-2 tankers) U.S. Navy supremacy established

A little Maritime Industry history Late 20 th century (post WW II) Liberties, Victories, & T2’s surplused world-wide as backbone of post-war merchant fleets … eventually replaced by much larger, faster vessels Pipelines & interstate highway system compete in domestic trade, while … airlines dominate international passenger trade Energy costs dictate ship design Slow speed, heavy fuel burning diesel propulsion dominates commercial shipping Nuclear & Gas Turbine propulsion become military standard Off-shore industries emerge

A little Maritime Industry history Late 20 th century … Development of containerization & inter- modal concepts International trade expands (in tonnage) with fewer, ultra large carriers International regulation in operations, business practice, & environmental protection Globalization in ownership European & Pacific Rim ship construction & repair “Flags of Convenience” Impact of advanced communication technologies