The Impact of Shippers’ Characteristics on Alternative Fuel Adoptions in Container Shipping

This study investigates how shippers' characteristics, such as transportation cost sensitivity, safety requirements, temperature sensitivity, and hygiene and compliance criticality, influence container vessel owners' adoption of alternative fuels, a key step in reducing emissions in maritime transport. Shippers, as demand drivers and ultimate cost bearers, play an important role in shaping green shipping decisions. Using HS Code data from e-bills of lading, shippers are classified into industry sectors. Dummy variables are then constructed to represent key industry attributes. Combined with vessel data from registration databases, the analysis uses logit regression to examine fuel adoption patterns. The results show that industries with high safety requirements, such as chemicals and pharmaceuticals, favor LNG, while cost-sensitive sectors, like textiles, rely more on conventional fuels. Food-related industries show mixed preferences, balancing reliability and renewable energy potential. These findings explore the interplay between shipper needs and fuel choices, offering insights for policymakers to develop targeted incentives and for carriers to align strategies with market demand, supporting the transition to sustainable maritime operations.