Statistics released by Allianz show a container ship fire occurs every seventeen days. It underscores the persistent risk misdeclared and undeclared dangerous goods pose to seafarers, shipping and global supply chains, states the World Shipping Council (WSC).
The Allianz Safety & Shipping Review 2026 says that in addition to geopolitical uncertainty, traditional risks for the shipping industry remain a major concern, although the numbers of total vessel losses and incidents have continued to decline in recent years. Machinery damage or failure and fires are among the main loss drivers in this regard
According to Allianz, fires on large vessels remain a major risk, with more than 200 incidents reported in 2025 — the second-highest annual total in a decade. The latest data published by Allianz also highlights the fire risk facing vehicle carriers, with a fire recorded every 37 days.
Growing vessel sizes and the increasing transport of lithium-ion batteries, particularly in electric vehicles and containerised cargo, are contributing to larger and more costly fire claims. Misdeclared hazardous cargo, including batteries and chemicals, continues to be a leading cause of container ship fires, warns Allianz.
Also read: Allianz: ‘Fire, collision, sinking and damaged cargo top causes of marine insurance losses’
‘Preventable threat’
‘Misdeclared and undeclared dangerous goods are a known and preventable threat to seafarers, ships, cargo and the marine environment. This is not a paperwork issue. It is a life-and-death safety issue,’ says Joe Kramek, President and CEO of the WSC.
He adds: ‘The vast majority of shippers do the right thing. But a small group of irresponsible actors are cutting corners, hiding risk and creating danger for everyone in the supply chain. They are also undermining diligent shippers who follow the rules.’
Also read: Shipping losses hit all-time low despite increasing risks
Industry response
The industry is responding with improved safety standards and AI-powered cargo screening to better identify incorrectly declared shipments and reduce fire risks, states Allianz. One of these initiatives is WSC’s Cargo Safety Programme, an AI-enabled screening tool designed to identify high-risk shipments before they are loaded. For example, a shipment that was described as “hand tools” was flagged and discovered to be lithium-ion battery-powered tools, which, if not handled correctly, could pose a serious fire risk. This is one of thousands of incidents that the Cargo Safety Program has already prevented.
WSC is one of the parties urging the International Maritime Organization to update regulations to improve fire safety on vehicle carriers, including the safe transport of electric vehicles.
Kramek: ‘Industry will do its part, but it cannot solve this challenge alone. There are international rules already in place to protect seafarers, ships, cargo and the global supply chain. Governments and regulators must enforce them.’
Also read: WSC program to detect dangerous goods and prevent ship fires
