Economic feasibility of finished vehicle and container transport by NSR/SCR-combined shipping between East Asia and Northwest Europe

Maritime trade between East Asia and Northwest Europe using the Northern Sea Route (NSR) has been increasing recently due to the shorter sailing distance compared to the Suez Canal Route (SCR). As Arctic sea-ice continues to retreat due to global warming, the NSR is now approximately 40% shorter than the SCR for such trade. A common platform of cost estimation assumptions was established by the recent studies through clarifying and analysing cost components referring to the literatures as well as the most recent interviews of NSR shipping professionals (Furuichi, M. and Otsuka, N. (2012, 2013)). NSR/SCR-combined shipping, when a vessel transits the NSR during the warmer months and the SCR in the colder months, has also been proposed as a realistic scenario for Arctic shipping in the previous studies. This paper examines the economic feasibility of finished vehicle and container transport by NRS/SCRcombined shipping between East Asia and Northwest Europe. NSR/SCR-combined shipping of finished vehicle and container between East Asia and Northwest Europe is revealed economically feasible, energy-efficient and carbon-dioxide-efficient when realistic figures are assumed (for example, the fuel cost, the NSR fee, and the NSR service period).