Norwegian Shipping in the 20Th Century Norway's Successful Navigation of the World's Most Global Industry

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Norwegian Shipping in the 20Th Century Norway's Successful Navigation of the World's Most Global Industry PALGRAVE STUDIES IN MARITIME ECONOMICS Stig Tenold Norwegian Shipping in the 20th Century Norway’s Successful Navigation of the World’s Most Global Industry Palgrave Studies in Maritime Economics Series Editors Hercules Haralambides Erasmus School of Economics Erasmus University Rotterdam Rotterdam, The Netherlands Elias Karakitsos EN Aviation & Shipping Research Ltd Athens, Greece Stig Tenold Department of Economics NHH – Norwegian School of Economics Bergen, Norway Palgrave Studies in Maritime Economics is a new, original and timely interdisciplinary series that seeks to be pivotal in nature and improve our understanding of the role of the maritime sector within port economics and global supply chain management, shipping finance, and maritime business and economic history. The maritime industry plays an increas- ingly important role in the changing world economy, and this new series offers an outlet for reviewing trends and developments over time as well as analysing how such changes are affecting trade, transport, the environ- ment and financial markets. Each title in the series will communicate key research findings, shaping new approaches to maritime economics. The core audience will be academic, as well as policymakers, regulators and international maritime authorities and organisations. Individual titles will often be theoretically informed but will always be firmly evidence- based, seeking to link theory to policy outcomes and changing practices. More information about this series at http://www.palgrave.com/gp/series/15187 Stig Tenold Norwegian Shipping in the 20th Century Norway’s Successful Navigation of the World’s Most Global Industry Stig Tenold Department of Economics NHH – Norwegian School of Economics Bergen, Norway Palgrave Studies in Maritime Economics ISBN 978-3-319-95638-1 ISBN 978-3-319-95639-8 (eBook) https://doi.org/10.1007/978-3-319-95639-8 Library of Congress Control Number: 2018952928 © The Editor(s) (if applicable) and The Author(s) 2019. This book is an open access publication.​ Open Access This book is licensed under the terms of the Creative Commons Attribution-­ NonCommercial-­NoDerivatives 4.0 International License (http://creativecommons.org/licenses/by-nc- ­nd/4.0/), which permits any noncommercial use, sharing, distribution and reproduction in any medium or format, as long as you give appropriate credit to the original author(s) and the source, provide a link to the Creative Commons license and indicate if you modified the licensed material. You do not have permission under this license to share adapted material derived from this book or parts of it. The images or other third party material in this book are included in the book’s Creative Commons license, unless indicated otherwise in a credit line to the material. If material is not included in the book’s Creative Commons license and your intended use is not permitted by statutory regulation or exceeds the permitted use, you will need to obtain permission directly from the copyright holder. This work is subject to copyright. All commercial rights are reserved by the author(s), whether the whole or part of the material is concerned, specifically the rights of translation, reprinting, reuse of illustrations, recitation, broadcasting, reproduction on microfilms or in any other physical way, and transmission or information storage and retrieval, electronic adaptation, computer software, or by similar or dissimilar methodology now known or hereafter developed. Regarding these commercial rights a non-exclusive license has been granted to the publisher. The use of general descriptive names, registered names, trademarks, service marks, etc. in this publication does not imply, even in the absence of a specific statement, that such names are exempt from the relevant protective laws and regulations and therefore free for general use. The publisher, the authors and the editors are safe to assume that the advice and information in this book are believed to be true and accurate at the date of publication. Neither the publisher nor the authors or the editors give a warranty, express or implied, with respect to the material contained herein or for any errors or omissions that may have been made. The publisher remains neutral with regard to jurisdictional claims in published maps and institutional affiliations. Cover illustration: Hans Berggren/GettyImages/Fatima Jamadar This Palgrave Macmillan imprint is published by the registered company Springer Nature Switzerland AG The registered company address is: Gewerbestrasse 11, 6330 Cham, Switzerland For havets folk – A la gent del mar For those who sailed, for those who worked long days in the office, and for those who waited at home. Acknowledgements This book is the result of more than two decades of research on Norwegian shipping. Along the way, I have benefitted greatly from the conferences and publications of an international community, centred around the International Maritime Economic History Association (now the International Maritime History Association). The most important pilot in these academic waters was Skip Fischer (1946–2018), and this book is dedicated to his memory. Over this period I have had interesting discussions with many people, who have shaped my ideas on maritime history in general, and the Norwegian dimension, in particular. I am grateful to Yrjö Kaukiainen and Jari Ojala in Finland; Gelina Harlaftis and Ioannis Theotokas in Greece; Lars Chr. Bruno, Espen Ekberg, Even Lange, Eivind Merok and Lars Fredrik Øksendal in Norway; Jesús Maria Valdaliso in Spain; Martin Bellamy, Peter N. Davies, Roy Fenton, Maria Fusaro, Hugh Murphy, Sarah Palmer, David J. Starkey, David Williams and the late John Armstrong in the UK. In Copenhagen I have collaborated closely with CBS Maritime, in particular Martin Jes Iversen, René Taudal Poulsen and Henrik Sornn-Friese, and in London I have had the pleasure of shar- ing the vast shipping experience of Otto Norland and Martin Stopford. At home in Bergen I have learnt much from discussions with Dag Bakka jr., Bjørn Basberg, Geir Belsnes, Camilla Brautaset, Jan Tore Klovland, Victor D. Norman, Bjørn Sjaastad, Siri Pettersen Strandenes, Arnljot vii viii Acknowledgements Strømme Svendsen and Roar Ådland, as well as colleagues at the Bergen Maritime Museum and NHH – Norwegian School of Economics. The majority of this book was written when I was on Sabbatical at the Department of Scandinavian Studies at the University of Washington in Seattle. I know that this stay has made the book different, and I believe that it has made it better. I am grateful for the warm welcome from Christine Ingebritsen, Lars Jenner, Andy Nestingen, Tina Swenson, Olivia Gunn and Terje Leiren; the last two have also been particularly useful in discussions about the contents. Although this is not a textbook, I “tested the waters” with students in my Maritime History and Economics class, who commented upon the first two chapters. Their reward was getting their names in an academic book. Well done, Kristoffer Bringslid, Nils Petter Farstad, Thomas Rødahl Fossland, Sindre Gripsgård, Benjamin Hui, Ruth Søyset Jensen, Nekane Larrañaga Pesquera, Boudewijn Leereveld, Jørgen Fie Padøy Mathiesen, Herman Hjort Rabsch, Steven Orpheus Sacopayo Schmidt, Samme Snakkers and Ruben ten Berge. Bjørn Basberg and Sina Øilo Tenold have also read parts of the manuscript, and provided useful comments. Four people have read and commented in detail on the manuscript, and deserve a special mention. Jan Tore Klovland, Hugh Murphy, Klaus Remme and Marit Øilo have been very helpful, and have uncovered mis- takes and inconsistencies that slipped through my net. Any remaining are of course my own responsibility, but I am extremely grateful for their help and enthusiasm. Academic publishing is rapidly changing, and new possibilities are opening. The costs of the Open Access-publication of this book have been paid for by Norges Rederiforbunds Fond for NHH [The Norwegian Shipowners’ Association’s Fund for NHH] and Norges Handelshøyskoles Publiseringsfond [The NHH Publication Fund]. I am lucky to have their help in disseminating my research. I would also like to thank Taiba Batool, who commissioned this book project, as well as Publisher Rachel Sangster and Editorial Assistant Joseph Johnson at Palgrave Macmillan for their patience and support during the writing process. Contents 1 A Brief Introduction to Norwegian Shipping 1 2 The tartingS Point: A Small Country, but a Major Maritime Nation 21 3 The irstF World War: The Neutral Ally 63 4 Crisis? What Crisis? Norwegian Shipping in the Interwar Period 91 5 The Second World War 133 6 Bigger and Bigger: Shipping During the Golden Age, 1950–73 159 7 The Shipping Crisis 195 ix x Contents 8 Rebound: The Return of Norwegian Shipping 231 9 Onshore and Offshore: The New Maritime Norway 259 10 Epilogue: A Century of Norwegian Shipping 275 Index 311 List of Figures Fig. 1.1 Norway’s merchant marine (1000 grt) and share of the world fleet, per cent, 1900–2000 6 Fig. 1.2 The Norwegian foreign-going fleet, share of total by region, 1900, per cent 13 Fig. 2.1 Norwegian foreign-going shipping 1900, by country and region, per cent 26 Fig. 2.2 Shipping volumes (1000 grt, left axis) and freight revenues (million kroner, right axis) 1900 28 Fig. 2.3 Estimates of the Norwegian fleet, 1800–1900, 1000 net regis- ter tons 41 Fig. 2.4 Average annual fleet increase and decrease by source, 1851– 1900, 1000 net register tons 43 Fig. 3.1 Norwegian losses during the First World War by year, 1914– 1918, seafarers and 1000 grt 79 Fig. 3.2 The shipping speculation boom, stock exchange indices (1913 = 100), 1914–1921 82 Fig. 4.1 Gross freight earnings, nominal and real, 1900–1939, NOK million 98 Fig. 4.2 Steam and motorship shares, per cent, 1900 and 1938, based on gross tonnage 111 Fig. 4.3 The number of tanker companies in various Norwegian regions, 1919–1939 114 xi xii List of Figures Fig. 4.4 Norwegian lay-ups, quarterly estimates, 1920–1939, 1000 dead weight tons (dwt) 122 Fig.
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