<abstract xmlns="http://www.w3.org/1999/xhtml"><p>EU Directive of MARPOL Annex VI and its economic impact on the Nordic paper industry is theme of this research work. Empirical data for analysis purposes was gained from a large Nordic paper mill that exports bulk products mainly to Europe (70 % of its volume). The study shows that in the end the industry’s location still has an economical effect, and that the location has a distinct impact on competition through rising transportation costs. Environmental regulation continues and fosters long-term upwards trajectory of transportation cost, which has been experienced by the paper mill earlier during years 2001-2009. Sulphur regulation change to cleaner grades of maritime diesel did not turn as heavy cost increase in the 2015, however, possibility to gain cost benefits in rapidly deteriorating oil markets were not reached either. Therefore, in depressed industrial product markets, like paper industry, implications were such that margins of export industry remained low.</p></abstract>

EU Directive of MARPOL Annex VI and its economic impact on the Nordic paper industry is theme of this research work. Empirical data for analysis purposes was gained from a large Nordic paper mill that exports bulk products mainly to Europe (70 % of its volume). The study shows that in the end the industry’s location still has an economical effect, and that the location has a distinct impact on competition through rising transportation costs. Environmental regulation continues and fosters long-term upwards trajectory of transportation cost, which has been experienced by the paper mill earlier during years 2001-2009. Sulphur regulation change to cleaner grades of maritime diesel did not turn as heavy cost increase in the 2015, however, possibility to gain cost benefits in rapidly deteriorating oil markets were not reached either. Therefore, in depressed industrial product markets, like paper industry, implications were such that margins of export industry remained low.

North European Export Industry and the Shadows of Sulphur Directive

University of Turku, Brahea Centre, FIN-20014 Turku, Finland

Lappeenranta University of Technology, Kouvola Unit Prikaatintie 9, FIN-45100 Kouvola, Finland, Fax: +358 5 344 4009

Tallinn University of Technology, Estonian Maritime Academy Kopli 101, 11712 Tallinn, Estonia, Ph.: +372 50 71 899

Transport and Telecommunication Journal

This work is licensed under the Creative Commons Attribution-NonCommercial-NoDerivatives 3.0 License.

{"article-title":"North European Export Industry and the Shadows of Sulphur Directive"}

EU Directive of MARPOL Annex VI and its economic impact on the Nordic paper industry is theme of this research work. Empirical data for analysis purposes was...

North European Export Industry and the Shadows of Sulphur Directive

Online veröffentlicht: 22. Feb. 2016

Seitenbereich: 9 - 17

DOI: https://doi.org/10.1515/ttj-2016-0002

Schlüsselwörter
Sulphur, Transportation, Paper industry, IMO, Sea freights

© 2016 Transport and Telecommunication Institute

This work is licensed under the Creative Commons Attribution-NonCommercial-NoDerivatives 3.0 License.

North European Export Industry and the Shadows of Sulphur Directive

Online veröffentlicht: 22. Feb. 2016

Seitenbereich: 9 - 17

DOI: https://doi.org/10.1515/ttj-2016-0002

SchlüsselwörterSulphur, Transportation, Paper industry, IMO, Sea freights

© 2016 Transport and Telecommunication Institute

This work is licensed under the Creative Commons Attribution-NonCommercial-NoDerivatives 3.0 License.

Schlüsselwörter
Sulphur, Transportation, Paper industry, IMO, Sea freights