Global trade is a driving force of economic growth, connecting businesses to markets worldwide. However, beyond the basics, there are intriguing details that reveal how the international economy truly operates.
At Nexo Logistics, we work daily with these key factors, helping companies expand globally with efficiency and strategic vision.
Here, we share three lesser-known facts about global trade that might change your perspective on expanding your business internationally:
Landlocked countries depend up to 80% on land trade
Countries without access to the sea, like Bolivia or Switzerland, rely heavily on land transportation to connect their products with global markets. While air transport is fast, its cost and limited capacity mean that most goods travel by land. In Africa, for example, landlocked countries depend on routes to ports in South Africa to reach broader markets.
Interesting fact: Some landlocked countries have negotiated agreements with neighboring nations to establish special trade corridors that facilitate the efficient movement of goods.
Maritime transportation remains the backbone of global trade, moving over 90% of products
Despite the rise of air commerce and digital trade, 90% of global trade is still conducted by sea. Cargo ships offer immense capacity and lower costs compared to other transport methods, making them essential for most companies.
Curiosity: Some of the world's largest ports, like Shanghai and Singapore, handle millions of containers annually, acting as critical hubs in global trade. Optimizing maritime routes can reduce time and logistics costs significantly.
Asia drives 60% of global trade growth
Global trade growth is concentrated in Asia, in markets like China, Vietnam, and South Korea. These countries are not only major exporters but are also increasing their imports of high-tech products, machinery, and consumer goods.
Fact: China’s New Silk Road, or Belt and Road Initiative, is transforming trade routes across Asia and beyond, creating new business opportunities for companies worldwide.
Conclusion:
Global trade offers vast opportunities, and understanding these key aspects can be a strategic advantage for your business. At Nexo Logistics, we're here to support you every step of the way, ensuring your company navigates the complexities of international trade with confidence.
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