Please select a reason for contacting BIMCO from the list above to find the best contact number
August 2024
When only six ships with a capacity of 4,746 TEU were contracted in the fourth quarter of 2023, many might have thought that the container ship contracting spree that began in 2021 had finally cooled. However, the appetite for new ships remains high and year-to-date contracting already exceeds the 2023 full year total. That brings the total capacity contracted since the start of 2021 to 10.47m TEU.
During the first seven months of this year, 194 product tankers larger than 10k deadweight tonnes (DWT) have been contracted with a combined capacity of 13.3m DWT. This is a 17% increase compared to last year and the highest level of contracting since 2006.
In 2024, grain exports from the US are expected to rise 12% from 2023, driven by a rebound in maize shipments. During the first seven months of 2024, shipments have risen 6% y/y and are expected to further ramp up after the upcoming maize and soya bean harvests in September. Water levels in the Mississippi River are at normal levels which should facilitate the transport of the harvests to seaports.
During the past three months, India has relied on Russia for 40% of its seaborne crude oil import. Year-to-date, volumes have reached an average of 1.6 million barrels per day (mbpd), an increase of 1000% compared to 2021, before Russia invaded Ukraine.
July 2024
Since the beginning of the year, the capacity of the container ship fleet has increased by 1.6m TEU. Compared to one year ago, the capacity has risen 11% to 29.5m TEU, the fastest fleet growth in 15 years.
During the first half of 2024, newbuild contracting in the dry bulk sector fell 34.2% y/y despite favourable market conditions. A 6.5% y/y increase in prices could be deterring contracting, yet in the second-hand market, where prices rose 15.2% y/y, the number of sales still increased 11.7% y/y. Other factors, such as limited shipyard availability and uncertainty on fuels and demand outlook could be contributing to this hesitation.
June 2024
Since the start of the year, newbuilding prices have risen 3% to their highest level since 2008. Compared to their most recent low in late 2020 they are up 53%. During the same period, the order book has grown by 72%, reaching its highest level since early 2012 and is up 2% year-to-date.
The charter owners’ container fleet has grown at an average annual rate of 3.2% for the past twelve years and currently stands at 11.7m TEU. The operator owners’ fleet has however grown faster, so the charter owners’ fleet now makes up only 40% of total container fleet capacity, down from 50% in 2012.
May 2024
The limits in daily transits in the Panama Canal have significantly affected the dry bulk market, with transits down 74% y/y between January and April 2024. During this period, sailing distances for completed voyages in the affected routes rose 31% y/y, while the cargo volume dropped 25% y/y. Overall, tonne mile demand for these routes fell 1% y/y.
Between January and April 2024, China’s electricity generation from renewables surged 12% y/y, significantly outpacing the 6% growth in generation from fossil fuels. While steam coal shipments to China rose 29% y/y, they are starting to feel the pressure from stronger renewables. Between March and April, the shipments fell 7% y/y as electricity generation from fossil fuels only rose 1% y/y.