Banyan: Snow Dragons (Business Ethics)

Throughout the past few decades, there has been a significant increase in the average global temperature. This increase in temperature has caused the Arctic to melt at a faster rate. As the Arctic melts, the treasure hidden within it begins to uncover; It is estimated that 30% of the world’s undiscovered reserves of natural gas, and 13% of the undiscovered oil, lie in the Arctic. There are also many other resources such as coal, iron, uranium, gold, copper, and various gemstones. But wait, there’s also more! The melting of the Arctic will also open up a new trading path across the Northern Sea Route above Russia. This is an economic opportunity for many countries such as China, Japan, or South Korea. China has already constructed a ship called the “Xue long” (snow dragon) to navigate these seas; This ship was the first Chinese ship to cross the NSR. China also plans to construct a sister ship to the Xue Long.

What does this have to do with business ethics? The answer is that countries such as Singapore, South Korea, and Japan are Lobbying their way into the Arctic council while they have no rights in the Arctic. Another issue is that the NSR will be dangerous to navigate; Who is responsible if someone dies? Many vessels travel along the strait of Malacca near Singapore and Malaysia; many ports have been constructed there for that sole reason. If countries like China start traveling through the NSR, what impact will that have on the economies of Singapore and Malaysia? Many countries are concerned with the matter of “Arctic Control” as “Whoever has control over the Arctic route will control the new passage of world economics and international strategies.”~Li Zhenfu. In my opinion, we should be trying to prevent the melting of the polar ice caps instead of seeking the rewards that come from it. Countries such as China are already prepared for such a future by constructing ships in advance.