Volume Twelve - Pre-Victorian to the Present Day - further aspects - A History of Penarth Dock by Roy Thorne . . .

Chapter Five - 1919 - 1939 - The Depression and Inter-War Years

The first World War dealt a devastating blow to the coal export trade in South Wales from which it never recovered. The decline would have happened even if there had been no war, but the war hastened its end. There were many factors which contributed to this decline.

During the war many countries which had imported our coal had developed their own coal industries ; where coal was being used it was being used more efficiently because of improved techniques ; many countries had developed hydro-electric power ; the development of mass production of cheaper motor cars and lorries had decreased the dependence of transporters and passengers upon railways, and their engines used steam ; and oil was also replacing steam coal to fuel the engines of ships.

The Royal Navy which had previously used South Wales coal switched to oil. In 1913 the Royal Navy took 1,175,000 tons of coal, in 1925, 350,000, and in 1926, 50,000 tons. [1177]

In 1926, the year of the long miners' strike, 1,054,557 tons of coal and coke was exported. That was about half of the previous year’s exports.

These inter-war years were a period of economic depression after a short period of deceitful prosperity. After that war Cardiff attracted speculators from all over Britain and many shipping firms were created during the period of false optimism to buy new ships to replace those lost in the war.

In 1919 there were 57 Cardiff companies owning 213 vessels. In 1920 there were 115 firms with 382 ships. About one tenth of all United Kingdom tramp shipping was owned at the Port of Cardiff. 1921 saw a further increase with 122 firms and 423 ships. At one time there were 150 firms owning nearly 500 vessels.  [614]

This bubble soon burst. In 1920 there was a tremendous reduction in freights ; in some cases, 50% to 300%. [614]  By 1931 the number of local companies had fallen to 77, and by 1937 there were fewer than 57 shipping companies.