LAKE CARRIERS ASSOCIATION

The Greatest Ships on the Great Lakes

OBJECTIVE
Help you appreciate marine transportation by:
Discussing a critical driver to the regions
economy.
Providing a global perspective on marine
transportation.
Looking at a model maritime transportation
policy.
Understanding the Big Picture Different
market segments, modes, and cargos.
Call for action.

TRANSPORTATION ECONOMICS
&

BASIC NAVAL ARCHITECTURE

Place Value Things have different value
in different places.
Mode Selection Value/weight of cargo
determines the mode. (TVM > Trns
Cost?)
Ship Design is a Trade-Off.
Tons Per Inch Immersion (TPI)
Why we need deep water:
250 270 TPI
1,000 Laker
70 120 TPI
other Lakers
100 TPI.saltie

ECONOMICALLY SOUND
95% of U.S. trade moves by ship ($742 billion).
Vessels move 24% of the domestic U.S. cargo for

less than 2% of the total costs.

One 1,000-footer =

cars

47 river barges = 700 rail

= 2,800 trucks.

Can move 1 ton 800+ miles (i.e., Duluth to

Cleveland)

for the cost of lunch at a fast food restaurant.

1.7 tons of raw materials to make 1 ton of steel.
$32 million to build 1 mile of freeway.

ENVIRONMENTALLY FRIENDLY
Produce Fewer Emissions:
Half of Rail

10% of Truck

Consume Less Energy:

Tons moved 1 km by 1 liter of fuel
Truck =
50
Rail
=
97
Water = 127

ENVIRONMENTAL GROUPS
SUPPORT FOR SHIPPING
Section 7 Water Transport
A. Introduction
TR400 Water transport is energy efficient,
usually has a low environmental impact, and
can offer significant benefits to the economy.
Well-managed ships generally cause less
environmental damage than other motorized
methods for the transportation of goods. Ships
compare favorably in respect of air pollution,
noise and use of land for infrastructure.

The Green Party

http://policy.greenparty.org.uk/mfss/transprt.html

SOCIALLY RESPONSIBLE
Vessel to rail shift:

36 more rail crossing accidents.

14 derailments.
1 train collision.

Vessel to truck movement:

141 more truck / car accidents.

35 additional fatal traffic accidents.

TRADE PATTERNS

REGIONS ECONOMY
70% of U.S. steel capacity.
60% of North Americas steel capacity.
60% of North Americas auto manufacturing.
55% of Ohios jobs are manufacturing.
$4.3 billion (U.S.) in personal income from
Great Lakes shipping.

IMPACT OF REGIONAL TRADE

U.S.-Flag Lakers typically haul 120 million tons.
Canadian-Flag Lakers ... 60 million tons.
Salties ... 20 million tons per year.
The 70,000-ton iron ore cargos the 1,000-footers
haul when water levels permit are enough
product to keep a major steel mill in operation
for 4 to 5 days.
A 70,000-ton coal cargo will supply Greater
Detroits electricity needs for a day.

1 SHIP = 2,800 TRUCKS

. = 25 tons per truck
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MARINE TRANSPORTATION
ITS THE GREASE THAT KEEPS THE ECONOMY MOVING !

95 percent of the tons and 75 percent of the value

of all cargo moves by marine transportation.
Soo Locks handle more tonnage than the
Panama Canal.
Most environmentally friendly less pollution.
Most economical.
Does not congest our highways or overburden
our aging railbeds.

DO YOU WANT?
A Strong Regional Economy with

National Impacts.
Electricity.
Construction.
Healthy Environment.
National Security.

Quality of life begins with a job!

LAKE CARRIERS ASSOCIATION

The Greatest Ships on the Great Lakes