The Russia-Ukraine war may have rattled the global economy and supply chain, but Moody’s asserted that the crisis did not spill over into sea ports as things continue to remain positive for the sector.
Summarizing the analysis of Moody’s reaffirming its positive outlook on US ports, MuniCredit News reported:
Moody’s notes that the US and Russia have little direct waterborne trade. Russia accounted for less than 2% of all trade at US ports in 2021 as measured by value, according to the US Census Bureau.
Any impact is more likely to be seen on East Coast ports. Container trade between the US and Europe represents about 15% of total container volume for US ports. One quarter of this trade is handled at the Port Authority of New York and New Jersey.
Bookings are strong for the second half of 2022. Cruise accounts for less than 10% of revenue for the US ports sector overall. Florida is an outlier in that regard. It is estimated that cruise ships are an important source of demand (25%-70% of revenue) for a handful ports in Florida and on the Gulf Coast.
