Financing will be one of the biggest challenges facing German shipowners

"German shipowners see financing and environmental regulation as the biggest challenges in the next 10 years," PwC Germany concluded in a survey of 95 shipowners.

The majority of respondents believe the outbreak will drive further industry consolidation, with government support becoming increasingly important.Only 14 percent of respondents believe that preparedness for the impact of an outbreak will be an urgent and strategic issue.

For German shippers, the biggest challenges in the next decade will be financing (85 per cent) and adapting to new environmental requirements (82 per cent), while 58 per cent of respondents think digitisation is important.

BurkhardSommer, deputy director of PwC's German Maritime Capability Centre, said the current crisis should not distract us from the fact that the fundamental challenges facing shipping companies, including financing new vessels and equiping existing vessels with environmentally friendly equipment to meet current and future regulatory requirements, will continue.

With government help, most shipping companies have coped well with the first wave of the epidemic.But whether rates and rents can sustain a recovery is a central question.

In addition, the further spread of the epidemic and the renewed blockade have created additional challenges for shipping companies.

Nearly 70 shipping lines said they were experiencing difficulties in replacing their crews, as well as delays in unloading cargo and customs clearance.

The digitisation of the industry over the past few years has helped overcome these challenges.About 91 percent of respondents believe the epidemic will continue to drive digitalization, with major shipping companies expected to continue to be digitalization drivers.

"Even though many shipping companies are able to handle land-based activities from home, this outbreak shows just how much digital shipping needs to be," says Burkhard Sommer.

German shipowners are cautious about the outlook for 2025.They are generally more pessimistic, with only 50 per cent expecting an increase in freight volumes.Some 12 per cent of respondents expect freight volumes to fall further, compared with 7 per cent a year ago.