8 MARINE TRANSPORTATION

FREIGHT TRANSPORTATION

At the time of publication of this report, 2005 data on marine origin–destination traffic was not available from Statistics Canada. Therefore, some of the tables in this section could not be updated with 2005 traffic data. Where feasible, Transport Canada has estimated traffic based on data published on the Web sites of the various Canadian Port Authorities (CPAs).

The CPA’s domestic and international traffic data for 19 ports were also used to estimate marine freight traffic handled at all the Canadian ports in 2005. In addition, historical transborder, and overseas traffic data were correlated to the international marine trade data (on a value basis) in order to estimate the 2005 traffic flows for each sector. Finally, total traffic handled as well as flows were correlated with Canada gross domestic product at basic prices (in 1997 dollars).

In 2005, there was an estimated 395 million tonnes⁴ of marine freight traffic, up 2.9 per cent from 2004. At 69.5 million tonnes, estimated domestic flows⁵ accounted for more than one fifth of this, up 0.9 per cent from the 68.9 million tonnes in 2004. Canadian-flag vessels carried an estimated 97.3 per cent (67.6 million tones) of domestic flows. Estimated Canada–U.S. traffic in 2005 totalled 127.4 million tonnes, up 3.3 per cent, while “Other” international (deep-sea or overseas) traffic⁶ increased by an estimated 3.4 per cent to 198 million tonnes.

Table 8-16 shows Canada’s marine traffic statistics by sector from 2003 to 2005. Addendum Table A8-13 covers the same information from 1987 to 2005.

^{Note: Totals may not add up due to rounding.}

^{Source: Statistics Canada, Shipping in Canada, Cat. 54-205
CPA ports Web sites & Transport Canada traffic estimates for 2005}

Table 8-17 compares the domestic and international CPA port traffic in 2004 with that of 2005, as well as the 2005 estimated traffic handled at all 19 Canadian ports. These ports handled 250 million tonnes of marine cargo in 2005, more than half the Canadian total. The rest of Canadian marine cargo, 215 million tonnes, was handled by an equally important regional port system consisting of more than 200 ports located from the Atlantic to the Pacific to the Arctic.

DOMESTIC MARINE FREIGHT TRAFFIC

COASTING TRADE ACTIVITY FOR 2006

Under Canada’s Coasting Trade Act, only Canadianregistered, duty-paid ships may transport passengers and cargoes and conduct commercial marine-related activities in Canadian waters. In addition, only Canadianregistered, duty-paid ships may be involved in the exploration and exploitation of non-living natural resources on Canada’s continental shelf. If, however, no Canadian ship is available or capable of providing a particular service, foreign-registered ships may apply to the Canada Border Services Agency (CBSA) for a licence to enter Canada’s coasting trade.

In 2006, the CBSA issued 95 applications for a coasting trade licence, marginally down from 101 applications in 2005. Of these, 60 were for the carriage of goods, 23 were for a commercial activity and 12 were for the transportation of passengers.

A total of 18 licences were issued to Canadian non-duty paid vessels. Norwegian vessels were the most predominant foreign-flag vessels involved in Canada’s coasting trade, having been issued 16 licences. U.S. vessels were the next most frequent, with 12 licences, followed by the Marshall Islands and Liberia, with six licences each.

Again in 2006, the highest percentage of activity continued to be for vessels associated with the oil and gas exploration and production industry. There were 55 tanker requests, 12 for drill ships, rigs and support vessels, and five for seismic vessels. Much of the tanker traffic relates to the requirement for large-capacity shuttle tankers. Table A8-14 in the Addendum shows the share of tonnage carried by foreign-flag ships in the Canadian Coasting Trade.

^{Note: Totals may not add up due to rounding.
1 Due to double countings in domestic traffic for Fraser River and North Fraser River ports, use Statistics Canada data for 2004. Return
2 Estimated 2005 total traffic (464.2 million) based on historical data and market shares of the CPA ports. Return
Source: CPA ports Web sites data}

INTERNATIONAL MARINE FREIGHT TRAFFIC

CONFERENCE/NON-CONFERENCE MARKET SHARES

Non-conference traffic continues to grow both in absolute terms and as a percentage of total liner traffic. In 2004 (most recent statistics), non-conference lines handled 28.1 million tonnes of cargo while conference traffic fell to 8.1 million tonnes. This means that nonconference operators moved almost 80 per cent of total liner traffic. Non-conference share of liner traffic becomes even more dominant when non-conference U.S. origin/ destination transshipped traffic is considered.⁷

The increase in non-conference traffic is due to a combination of independent lines that are establishing new services to Canada and established lines that have withdrawn from conferences.

Table 8-18 compares the conference and nonconference shares of Canadian liner trade in 2003 and 2004. Addendum Table A8-15 shows the same data from 1995. Note that the traffic reported for the conferences includes cargo carried under confidential service contracts that would not be subject to conference tariffs.

In terms of type of cargo, conference operators have been concentrating almost exclusively on containerized traffic in recent years. The year 2004 was no exception, as 98 per cent (8.0 million of 8.1 million tonnes) of cargo was carried in containers. Non-conference operators are also carrying more cargo in containers (22.8 million tonnes in 2004), although this includes general cargo and neo-bulk traffic as well.

Breaking down liner traffic by foreign region of origin/destination shows the relative shares of conference and non-conference operators on different routes. Table 8-19 compares conference and non-conference liner traffic by region for 2004.

MARINE TRADE

According to international trade data, Canadian international marine trade in 2005 increased 10.4 per cent to $130.0 billion (excluding shipments via U.S. ports). Marine exports totalled $60.5 billion, while marine imports totalled $69.4 billion.

Table 8-20 shows the value of marine exports/imports by country of origin/destination in 2005.

The value of exports increased by 11.8 per cent, mainly to the United States, Japan, China and the United Kingdom. Petroleum products and crude oil were the main commodities exported to the United States, while forest products, grains and other food products were the main commodities exported to Japan and China.

The value of imports also increased, by 9.6 per cent, notably with increased cargos from China, Japan, Germany, Norway and South Korea. The main commodities imported from China were textiles, leathers and end products; furniture, major appliances and household equipment; and machinery and electronic equipment.

^{Source: Transport Canada, International Database; Statistics Canada}

^{Note: – means Nil: Other America = North America plus Greenland and Saint Pierre and Miquelon.
Source: Transport Canada, International Database; Statistics Canada}

^{Note: Totals may not add up due to rounding.
1 Including domestic exports and re-exports. Return
Source: Statistics Canada, Cat. 65-202 and 65-203; Special tabulations}

Table 8-21 shows the value of the marine share of Canada’s international trade in 2005.

^{Note: Table may not add up due to rounding.
1 Including domestic exports and re-exports. Return
Source: Statistics Canada, Cat. 65-202 and 65-203; Special tabulations}

While Canada’s marine trade with the United States in 2005 totalled $19.7 billion, including exports of $17.3 billion, this represented only 3.4 per cent of total Canada–U.S. trade. Most traffic was handled by surface transport modes, such as trucking and rail.

Canada’s marine trade with overseas countries (excluding the United States) totalled $110.3 billion in 2005. This included $43.3 billion in exports and $67.0 billion in imports. Marine transport accounted for 47 per cent of all overseas trade by value and was the dominant mode for shipping overseas freight.

Canada’s major areas of marine exports/imports are Asia, Western Europe and the United States. Canada’s main exports in 2005 (including to the United States) were gasoline/fuel oils ($9.7 billion), forest products ($8.0 billion) and other food products ($5.2 billion). Imports consisted of crude petroleum ($12.9 billion), textiles, leathers and end products ($9.4 billion), machinery ($6.2 billion), automobiles ($6.0 billion), gasoline/fuel oils ($3.9 billion) and other food products ($3.2 billion). For more information on the value and volumes of Canada’s maritime trade with the United States and other countries, see tables A8-16 and A8-17 in the Addendum. For a breakdown of principal commodities exported and imported by value, see Addendum Table A8-18.

⁴ Based on traffic flows rather than tonnage handled at Canadian ports (domestic volumes are not double counted). Return

⁵ Maritime traffic that originates from and is destined for a Canadian port. Flows count traffic volume only once, in contrast to port loadings and unloadings, for which, in the case of domestic traffic, the volumes get counted twice. Return

⁶ “Other” international traffic includes shipments to and from foreign countries other than the United States. Return

⁷ It is important to note that the data in the tables are not adjusted for U.S. transshipments moving through Canadian ports. Much of this traffic moves on conference vessels but at non-conference rates. The route most likely affected by these transshipments is the one between Europe and Canada. Montreal estimates that approximately 50 per cent of its liner traffic originates in or is destined for the United States. Halifax and Vancouver are also handling growing amounts of U.S. Midwest traffic. This would, of course, overstate the share of conference traffic. Return

Major Events in 2006

Infrastructure

Marine Politage

Industry Structure

Passenger Transportation

Freight Transportation