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The inauguration of the North Pole route as an alternate route for transporting cargoes between the Far East and Europe appears to be extremely acceptable by shipping companies owing to the huge saving in fuel consumption, bunker cost, operating cost, emissions and journey time. This route conversion will not only have an impact on the maritime business activity in the Suez Canal, but also the Egyptian economy in several aspects when the number of vessels passing through the Suez Canal and the Indian Ocean decreases. The aim of this study is to analyze the impact of the opening of the Northern Sea route on maritime sector of the Egyptian economy. The scope of this study is concentrating on the Suez Canal shipping activity by using the statistics that have been received from Suez Canal Authority through a set of direct and indirect interview sessions with authority’s experts.

Risk of North Pole Route on Suez Canal Revenue