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China's Ice Silk Road: Arctic shipping bypasses chokepoints

Financial Times Companies •
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The Arctic is emerging as a viable alternative to traditional shipping routes as melting polar ice shortens the Europe-Asia journey and vessels seek to avoid maritime chokepoints. Sea Legend, a Chinese container shipping company, will this week launch the first regular container service through the Arctic, branded the “Ice Silk Road.” The weekly service will skirt the north Russian coast between Ningbo, China, and Felixstowe, UK, cutting the usual 40-day sailing time by about half, depending on Arctic conditions.

The move follows a record 23 transits through the Northern Sea Route last summer, up from 15 in 2024. Sea ice melts far enough south in summer to allow passage without icebreakers. Despite geopolitical rivalry, shipping companies are increasingly interested in the route to avoid chokepoints like the Bab al-Mandab Strait, where Houthi threats renewed last month. “There’s been a definite increase in traffic through the Arctic,” said Rahul Khanna, global head of marine risk at Allianz, noting savings in time and cost while avoiding conflict zones.

European companies like Maersk, which sent the first container ship through the Arctic in 2018, have pledged not to use the route due to ecological concerns. Arctic sea ice during peak winter was down 5.8 per cent between 2024 and 2025—the biggest drop on record, per University of Southampton researchers. “The impact of global warming in the Arctic is quite staggering,” said former Canadian environment minister Steven Guilbeault. Interest in ice-class vessels has risen, with 167 constructed last year, the highest in over a decade, and 164 due this year, according to Veson Nautical.

However, the Arctic presents critical challenges: navigating ice fields without GPS, risk of oil spills, and limited search and rescue. “There is a big chance of vessels getting stuck if no icebreaker facilities are available,” said Khanna, who noted over 500 reported shipping incidents in the Arctic Circle in the past decade, with machinery damage responsible for nearly half.