The module ISM511 – International Maritime Economics introduces students to the core principles and economic dynamics that influence the maritime industry on both a direct and indirect level. Students will explore the structure of the maritime industry, its historical significance, and its critical role in global trade. Through a comprehensive overview of demand and supply for sea transportation, this module covers the factors driving market dynamics, as well as the interdependent relationships between international trade and shipping. Key topics include the economic principles underpinning shipping, the types of ships and cargoes, and the characteristics of liner versus tramp shipping markets. Emphasis is also placed on understanding the determinants of cargo transportation demand and supply, derived demand, scheduled and unscheduled voyages, and various methods for segmenting shipping markets.

Students will explore the importance of the cyclicality and seasonality of shipping markets, gaining insight into the four distinct phases of the shipping cycle and the events that define each stage. The module is organised into five units, each focusing on a particular area of maritime economics: an introduction to the field and the organisation of the shipping industry, the dynamics of shipping market cycles and freight rates, the four types of shipping markets, costs and revenues, and the diverse types of cargo transported by sea. Throughout the module, students will gain the analytical tools to evaluate economic principles such as demand elasticity and shipping risks, apply their knowledge to real-world challenges, and develop insights into the risks, revenues, and strategic decisions that shape the maritime industry.