Global shipyards are under pressure and 2021 is turning out to bring the third lowest level of newbuilding orders in 12 years, despite new orders for containerships currently at a 14-year high.
The container and dry bulk shipping industries are breaking new records left, right and centre it appears, resulting in dry bulk owners enjoying unseasonably high profits, and container shipping carriers and tonnage providers delivering record high profits.
Demand drivers and freight rates Driven by the pandemic and stimulus-induced consumer spending on retail goods, container shipping has been a great place to be for carriers and tonnage providers, while proving a headache for those with cargoes needing to be moved in a timely manner.
Demand drivers and freight rates A recent small and short spike in oil product tankers shows just how far the tanker market still has left to go on its recovery journey.
Demand drivers and freight rates The first four months of 2021 have been record-breaking in volume terms, with demand reaching 1.69 billion tonnes – the highest-ever start to a year. Volumes are up 6.1% compared with the same period in 2020, and only slightly down from the 1.72 billion tonnes in the final four months of 2020.
Despite diverging pandemic paths in the world, global growth is forecast to reach 6% this year, according to the International Monetary Fund, following a 3.3% contraction last year. There are, however, still plenty of downside risks, especially as parts of the world are facing their worst coronavirus outbreaks to date and the prospect of a large part of the global population being vaccinated is still a long way off.
Peter Sand is joined by Jochen Gutschmidt for the final episode, which focuses on container shipping. Sand and Gutschmidt look into the somewhat crazy and out of control container shipping market. Commodities moved in a box have dominated much of the conversation in 2020, and here is the perfect opportunity to dive down into how, why and where it is going. The two look both on commercial (procurement) and operational (management and optimization) trends. Spanning across short and long-term analyses, giving the viewer insight into the short-term markets and a unique look into the experts forecast for the future.
The pandemic is still wreaking havoc in large parts of of the world, and while the tanker market is hurting badly, the companies in the container shipping sector are making record profits. In dry bulk, rates are at a 10-year high. But how long will this situation last, and what disruptions to the current state of the market should you keep your eyes out for?
That question, and many others, BIMCO’s chief shipping analyst, Peter Sand, tried answer on 2021’s second instalment of BIMCO’s Shipping Market Overview & Outlook.
Combined soya bean exports from Brazil and the US are down 7.8% in the first eight months of this year, as the main Brazilian soya bean export season disappointed.
Join Peter Sand at the Argus Fuel Oil Summit in Miami, Florida, US. The Chief Shipping Analyst will be participating in the panel discussion: 2020 is rapidly approaching – are shipowners prepared?
BIMCO expects the fundamental market balance to deteriorate in 2019 which will do nothing to improve freight rates as the 2020 sulphur cap nears.
Even with the sulphur cap expected to give a boost to the tanker market, high fleet growth will put pressure on earnings.
Global economic growth continues to slow with recession warnings sounding in many corners of the world, none of which points to high global trade volume growth for the time being.
Global growth in container volumes has picked up slightly in the second quarter of the year, with growth in the first seven months reaching 1.2%, compared to the just 0.8% in the first quarter.
Join Peter Sand at the London International Shipping Week, where he will be participating in the Navigating Through IMO 2020 amid slowing growth discussion hosted by Bloomberg Intelligence. The discussion will cover the outlook for the commercial shipping markets, alongside an IMO panel discussion on how to prepare for the upcoming IMO 2020 Sulphur Cap. The event will be followed with a networking reception.
The highest US crude oil exports to China in 11 months lifted total seaborne US crude oil exports to a record high at 11.9 million (m) tonnes in June 2019.
Join Peter Sand at the JOC Container Trade Europe conference in Hamburg, Germany on the 17th of September.
The trade war has brought increased attention to the soya bean trade between the US and China with 2019 offering conflicting narratives.