Massive investments in offshore windfarms in Asia will generate opportunities for southeast Asian OSV owners, while Qatar gas expansion presents best near-term work in the Middle East. Read more in Riviera
ABS Unveils Latest Trends and Projections for Future Fuels and Decarbonization
Low Carbon Shipping Outlook Suggests Industry Will Need to Do More to Meet GHG Targets — ABS has published the latest trends and projections on carbon-reduction strategies for shipping as the industry looks to meet decarbonization ambitions. Read more here
Carriers set to benefit well into next year
Depleted inventories and ecommerce demand will continue to support containerised freight demand. Box shipping is benefiting from high demand and constrained supply. But even if consumer spending patterns revert to type, the sector can expect the new normal of higher rates to remain in place. “We expect healthy trade volumes to persist over the rest of the year. Overall, we’re expecting containerised trade to grow by around 7% this year and that growth story will continue in to 2022.” says MSI Read more in Lloyd’s List
High iron ore price halts capesize retreat
Capesize rates are back up following a two-day descent late last week as iron ore futures surged to $226 per tonne on the back of formidable demand from China. “The supply of iron ore continues to be in deficit in relation to demand, thanks to China’s “robust” steel consumption, coupled with strong recovery in other countries” comments MSI. Read more in Lloyd’s List
Tanker market fundamentals remain weak
As vaccination programmes bring some hope, the pace of recovery in the tanker freight market is likely to remain slow as new coronavirus outbreaks in some countries present a significant risk. Any near-term recovery will likely to be hampered by the reduction in extraordinary factors influencing fleet availability, such as floating storage demand seen last year. Read more in Lloyd’s List
Demand boom drives box spot rates to yet new highs
Disruption from the Suez blockage has done little to aid supply chain bottlenecks in Europe, while transpacific trade marches on abundantly amid the ‘greatest re-stocking cycle on US record’. Market fundamentals continue to drive freight rates to unprecedented levels, with a return to so-called ‘trade normalisation’ taking longer than anticipated. Analysts do not expect rate relief to come any sooner than the third quarter in light of sustained supply-demand tightness Read more in Lloyd’s List
Newbuild VLGC orders already double 2020 total
‘Orders for around 16 new very large gas carriers were placed in the first four months of 2021 compared with 13 for the whole of last year. The latest VLGC orderbook consists of 56 vessels as of end-April this year.’ Read more in Lloyd’s List
Dry bulk owners break out the bubbles but can they avoid the hangover?
The retreat of COVID-related disruptions will restore market efficiency and freight rates to better reflect underlying supply and demand fundamentals.
Dry bulk owners enjoying a welcome bounce in earnings and asset values should be prepared for pressure in the second half of the year as the impact of China stimulus wanes and port efficiency improves. Read more here
Offshore wind boom demands careful navigation
Owners of wind turbine installation vessels can expect to see earnings and demand grow, but oversupply might be looming if too many vessels area ordered. Read more in Riviera
Analysis: can China cure its chemical import dependency?
China is the world’s dominant player in liquid chemicals, but will growing domestic production displace imports? asks Maritime Strategies International’s director, Stuart Nicoll. Read more in Riviera