Maritime executives in Hong Kong are putting a brave face on the exodus of ships from its shipping register as shipowners take fright over the growing rift between China and the Donald Trump-led US.
Another 12 ships left the Hong Kong flag last month, the register now down by more than 200 vessels over the past four years with the majority of ships being reflagged to Singapore, Panama, Liberia and the Marshall Islands.
Hong Kong’s shipping registry grew dramatically following the territory’s reunification with China in 1997 to become the fourth largest in the world, but in recent years the city has attracted plenty of criticism and sanctions from Washington DC for its role in aiding the so-called dark fleet. With Trump’s return to the White House and a perceived further downturn in relations between the US and China, prominent shipowning names have decided to relocate some of their ships to ensure they are not caught up in any trade war.
The Hong Kong Shipowners Association (HKSOA) sought to play down the political nature of the reflagging decisions when contacted by Splash Extra.
“While we recognise recent shifts in tonnage, it is important to distinguish between short-term market adjustments and long-term strategic positioning,” the HKSOA said in an emailed statement.
The shipowners body pointed out that while there has been a net decrease of 273 ships from 2020 to 2024, the total gross tonnage has actually increased by 4.3m, signalling a shift toward larger vessels.
“It is natural for ship registries to experience fluctuations, particularly in a highly competitive and geopolitically dynamic landscape,” the HKSOA said, arguing that to frame the tonnage shift as purely a result of political tensions would be oversimplifying the reality of commercial decision-making in a complex global industry.
The HKSOA maintained many shipowners are diversifying their flagged fleets across multiple jurisdictions—not just in response to geopolitical risks but also for regulatory, tax, and operational efficiency reasons.
“It is a shame that the Hong Kong Shipping Registry whose services are excellent when compared with those of various other registries – and I say this from experience – is being challenged by politics in this way,” commented Rosita Lau, a partner at Ince & Co Hong Kong, and long-term champion of the city’s maritime credentials
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