Russia’s crude production is likely to face “significant challenges” in 2023 as the EU ban comes into effect, MSI director Tim Smith tells TradeWinds
Warning Signs
There are warning signs for the charter market and shipowners, writes MSI in it’s latest short-term outlook forecasts, both for earnings and second-hand values. Read more at The Loadstar
Why the FSRU market may not be as ‘sold out’ as it appears
Geopolitics has sent demand on divergent paths, but capacity can be secured if you search a little harder, writes Andrew Buckland, Senior Gas Shipping Analyst, at MSI. Read more at Energy Northern
Ultra-long-haul voyages boost VLCC prospects
Nearly six in 10 of all crude tanker voyages will be long or ultra-long-haul by 2026 in a boost for the earning prospects of VLCCs, according to new research.
The reshaping of global trade flows caused by Russia’s invasion of Ukraine is a key factor in the increasing voyage distances, said maritime research and forecasting consultancy Maritime Strategies International (MSI). Read more in Tradewinds
Most container ships fail to meet IMO carbon reduction measures
A new study by MSI has revealed just how far behind the container shipping fleet is in the battle to comply with pending carbon reduction measures coming next year.
Three-quarters of the boxship fleet will not comply with the Energy Efficiency Existing Ship Index (EEXI) regulation to be introduced on 1 January 2023. Read more in Tradewinds
How global fleet dynamics will change with EEXI and CII
MSI believes that in most cases, owners will opt for either EPL or shaft power limitation (ShaPoLi). “It is understood to be a cost-effective, quick, and unobtrusive process that should not impede a vessel’s usual maintenance schedule and therefore will not absorb tonnage for the installation process over the coming months.” Read more MSI views on this topic at Splash247
Yards toy with adding capacity
Amid a record ordering boom – and with an eye on fleet renewal ahead of IMO 2050 – shipbuilders are looking at expansion for the first time in a decade.
MSI Director Stuart Nicoll states that “physical capacity tends not to disappear as yards are either mothballed or put to work on other forms of heavy industry, effective capacity is a lot easier and quicker to bring back online when markets improve, though one limiting factor can be the availability of a trained workforce“. Read more views at Splash247
Risks ahead for shipping markets
Risks to shipping markets were in focus as analysts from Maritime Strategies International (MSI) shared their opinions and outlook on the dry bulk, container, oil and newbuilding sectors to a China Shipping Outlook 2022 webinar. Read more at Seatrade Maritime News
Gloomy outlook for container freight market as rates continue to fall
A deteriorating picture of the container freight market outlook is painted by the Maritime Strategies International’s (MSI) July Horizon report.
The analysts say they continue to expect container markets to “run out of steam” in the third quarter, with “a sharper drop-off in Q4 as the unwinding supply chain disruptions and cooling consumer demand drive the decline in freight and time charter rates”. Read more at The Loadstar
Shipyards face cancellations over weak freight market and interest rates
Yards have built up a large order backlog, with deliveries scheduled up until 2026. This means that construction of most vessels on order will start in the next two years, when buyers will start to pay the remaining ship price. MSI is currently expecting to see an increase in cancellations amid rising interest rates and slowing economic growth. Read more at Lloydslist.