Cyprus targets Asia shipping

1 min read

Cyprus, overcoming the loss of Russian maritime trade due to EU sanctions, the Mediterranean shipping hub is chasing business expansion in Japan and elsewhere in Asia as it looks to grow its flag.

Cyprus, together with Greece and Malta, which have the largest shipping fleets in the 27-member EU and host large ship-management centres, have been the most vocal countries in the bloc seeking to limit the extent of shipping restrictions imposed on Russia after its February invasion of Ukraine.

“Contrary to reports, the Register of Cyprus Ships is not dependent on ships of Russian interests or connected with Russia,” Cyprus Shipping Deputy Minister Vassilios Demetriades told Reuters.

“Our strategy is not to depend on any nation.

“We do have multi-dimensional shipping clients that attract business from different segments in Europe, and we are looking to expand in Europe and Japan and wider Asia.”

Demetriades said Cyprus had some ships registered from Russian-state-run shipping group Sovcomflot.

“There is a Russia  ‘link’ to a small number of Cyprus ships out of the total of 1,100 registered.”

He added that following applications made by ship owners, “a number of ships have been deleted from the Register of Cyprus Ships or are in the process of deletion”.

“These ships appear to be connected with Russian interests or managed from Russia,” he said.

“So far, the losses are manageable and are not harmful to the Cyprus registry.

“However, we need to stress that the choice of the flag of the vessel is the prerogative of the owners.”

According to data provider Lloyd’s List Intelligence analysis, 15 ships linked to Sovcomflot were still flagged with Cyprus.

“With respect to Sovcomflot, it is noted that the company has already made other plans since it’s very difficult for them to operate from Cyprus and their offices are now closed,” Demetriades said.

Many Russian ships have switched classification societies in recent months.

Data from the website of the International Association of Classification Societies (IACS) shows more than 50 Russian ships, including many from Sovcomflot, have moved to be classed by the Mumbai-headquartered Indian Register of Shipping (IRClass).