South Korea and China are both accelerating efforts to open new trade corridors to Europe through the Arctic.

On Tuesday, Korea Ocean Business Corp (KOBC), a state-backed ship finance group, announced a new initiative to explore the Northern Sea Route (NSR). The goal is to cut travel time between Busan and Rotterdam by ten days and reduce fuel costs.

KOBC said recent disruptions in the Suez Canal and rising tensions in the Red Sea have made the Arctic a more reliable option. 

Once the route is active, KOBC aims to turn Southern South Korea into a logistics and finance hub. Earlier in the month, South Korea’s Minister of Oceans and Fisheries, Chun Jae-soo, said a container route through the Arctic will be tested next year.

Meanwhile, China’s Nanjing port launched its first Arctic container voyage to Europe and officials said using this corridor could shorten Asia-Europe routes by over 3,000 nautical miles.

Source: The Loadstar