Market Trends of Hazardous Goods Logistics Industry
Increase in Shipment of Flammable Liquids Driving the Market
The medical, nuclear power, oil and gas, and petrochemical industries are examples of the widespread use of hazardous materials in developing or developed economies. Transport companies transporting dangerous goods must follow standard procedures for the safety of their vehicles and vessels. Other federal agencies' regulations on dangerous products, workplace safety, and environmental protection also apply.
Over the next few years, the hazardous product logistics market will benefit significantly from increasingly strict government regulations. The US Department of Transportation’s (DOT) Pipeline and Hazardous Materials Safety Administration (PHMSA) is responsible for developing and implementing national regulations for the safe transport of dangerous goods. When transporting dangerous goods to, from, or within the United States, it is critical to comply with the Hazardous Materials Regulations (HMR 49, Part 100-185).
The UN Model Regulations for the carriage of dangerous goods serve as a reference for the development of standardized regulations for all modes of transport. There is a new edition every two years. In order to facilitate trade and facilitate the safe and efficient transportation of dangerous products, labels or marks specifically designed for the carriage of dangerous commodities on cargo vessels must be applied to the dangerous goods. More importantly, they help make transportation safer.
Asia-Pacific Dominates the Market
The Capacity Building Course on Promoting Safety for Dangerous Goods Transportation in the APEC Region, including the workshop, was held online in Phuket from December 1 to 2, 2022. The course was attended by a total of 53 participants from 11 APEC member economies, namely China, Japan, the Republic of Korea, Malaysia; Peru, the Philippines, Singapore, Chinese Taipei, Thailand, the United States; and Vietnam and three Non-APEC economies, namely Cambodia, Sri Lanka, and France, as well as representatives of relevant international organization, regional agencies, port authorities, universities, research institutes, professional associations, and private sectors.
In the fiscal year 2022, the total number of dangerous goods containers in Bangkok Port was 38,545 TEUs. The highest number of hazardous goods containers was in Class 9 (14,034 TEUs), followed by Class 3 (9,489 TEUs). At the same time, the lowest number of dangerous goods containers was in Class 6.1 (3,083 TEUs). Similarly, the total number of hazardous goods containers in Laem Chabang Port was 174,938 TEUs. The highest number of dangerous goods containers was in Class 9 (59,734 TEUs), followed by Class 3 (42,606 TEUs).
Large-scale petrochemical development has decreased the gasoline demand. As a result, more dangerous goods, such as oil and gas, are being transported across the country using trucking services.
The United States is projected to become the largest oil producer in the world within the next five years, overtaking both Saudi Arabia and Russia. Shipping companies are essential for the oil and gas industry to get their goods to customers worldwide. These market trends should lead to the expansion of the hazardous goods logistics market. Applicable laws and regulations should package dangerous materials. It is also important to use labels or other identifying indicators on cargo carriers when transporting hazardous materials. This would significantly enhance transit security.
