Weekly detailed analysis of world shipping freight markets for all major routes for December 2 – December 9, 2024.
Capesize (Atlantic and Pacific)
Another very challenging week for Capesize with rates and confidence deteriorating further. Limited demand and oversupply in both basins created an imbalance that pushed rates further down. Fewer fixtures were concluded. In the Pacific, Rio Tinto fixed six TBN vessels to load its cargoes of 170,000mt +/- 10% iron ore from Dampier to Qingdao. Two shipments with laydays 20/22 December at $7.70 and $7.60/Mt, two with laydays 22/24 December at $7.40/Mt and two with laydays 23/25 December at $7.40/Mt. BHP fixed a TBN vessel to load its cargo of 160,000mt +/- 10% iron ore from Port Hedland to Qingdao, laydays 24/26 December at $7.95/Mt. RGL fixed a TBN vessel to load a cargo of 170,000mt +/- 10% iron ore from West Australia to China, laydays from 23 December onwards at a freight rate in the low $7’s/Mt. In the Atlantic basin, Trafigura fixed the MV Cape Excelsior (187882 dwt | 2015 built) to load a cargo of 180,000mt +/- 10% iron ore from Sudeste to Qingdao, laydays 20/26 December at $18.00/Mt. Costamare fixed a TBN vessel to load a cargo of 170,000mt +/- 10% iron ore from Tubarão option West Africa to China, laydays 1/15 January at $17.50/Mt. MOL was awarded the NSC tender on the MV Maran Vigour (180,391 dwt | 2012 built) for a cargo of 180,000mt +/- 10% iron ore from Ubu to Japan, laydays from 6 January onwards, at a freight rate in the high $16’s/Mt. Oldendorff fixed the MV United Grace (182,922 dwt | 2019 built) to lift a cargo of 170,000mt +/- 10% iron ore from Pointe Noire to Qingdao, laydays 23/29 December at $24.25/Mt. Mittal fixed the MV Star Marilena (178,977 dwt | 2010 built) to load 150,000mt +/- 10% iron ore from Port Cartier to Kimitsu, laydays 24 December/2 January at $27.00/Mt. Sinoafrica fixed a TBN vessel to load a cargo of 180,000mt +/- 10% iron ore from Freetown to Qingdao, laydays 30 December/4 January at $17.40/Mt. Out of South Africa, Ore and Metal fixed a ST Shipping TBN vessel to lift a stem of 170,000mt +/- 10% iron ore from Saldanha Bay to Qingdao, laycan 1/5 January at $12.00/Mt.
Panamax (Atlantic and Pacific)
The transatlantic market started negatively, but towards by mid-week there was a reversal and rates started increasing, particularly from S America which recorded a gain around $1,600/d. Demand and supply looked more balanced in the area. The trend was encouraging, far from pushing tonnage in Pacific in ballast to S America while ships open in Indian Ocean were starting to be a little more competitive. In any case many units preferred S African cargoes to Far East. On P6_82, at the start of the week, an 81,000 dwt built in 2012 was fixed aps ECSAm 4/6 Dec for a tct redely Spore/Jpn at $12,500/d + 250,000 ballast bonus, around $8,000/d on BKI, while towards the end of the week an 74,000 dwt overaged was fixed aps Santos 24 Dec at $13,750/d + 375,000 bb for redely Spore/Jap range; that means about $11,600/d BKI. P1A_82 and P2A_82 increased by $500/d. An 82,000 dwt built in 2014 with dely Amsterdam 8 Dec was fixed TA RV at $9,250/d redely Skaw/Gib range and an 81,000 dwt 2014 built open Aviles 7/10 Dec fixed a tct via USG passing COGH redely Far East at $16,500/d.
Another slow week in Pacific. Rates have been going down all week with a small increase recorded only on Friday. Both owners and charterers were reluctant at giving levels as they are waiting for the market to go up, that’s surely due to the little increase in the Atlantic market. Australia started the week with levels around $10,000/d for TC trips with dely N China via EC Australia and redely Japan. At the end of the week a scrubber fitted, modern Kamsarmax was fixed at $10,500/d basis dely Taiwan. Indonesia was the main driver with a good amount of cargoes, but this was not enough to impact positively rates due to a very long tonnage list. Levels for trips from Indonesia to India and to China were both around $6/7,000/d basis dely S China. A vintage 81,000 dwt open Zhuhai was reported at $7,000/d via Indo with coal to S China. NoPac was very quiet with a very low number of cargoes fixed in the low teens. A very modern Kamsarmax open Yantai was reported at $10,000/d basis dely Spore/Jpn range with petcoke.
Handy (Far East/Pacific)
Handy rates were still under pressure. In Pacific the number of cargoes was still limited while the tonnage list was building up. There was a feeling rates might have reached a bottom. Another slow week for larger units. While the start of the week showed some signs of improvement, it ended again on a negative note. Supramax tonnage with dely Singapore was fixing Indonesia-N China at $9,000/d. An Ultramax open N China was fixed for a NoPac RV at $11,500/d.
Handy (North Europe/Black Sea/Mediterranean)
The market was very positional. Very low Handy rates in Med were still commanding a premium for trips towards that direction, the preference was for other destinations such as USG, US EC and NCSAm. A brand new Imabari40 was fixed basis dely aps Antwerp and redely US EC with steels around $13,000 /d, another brand new 40,000 dwt Chinese built with very good consumption was fixed for dely aps Antwerp redely US Gulf with fertilizers at $12,250/d for 45 days and $15,000/d balance, then a 35,000 dwt was fixed basis dely aps Rouen redely Cartegena with grains at $12,000/d. The scrap trade to E Med was fixed around $12,000/d in line with the previous week levels, while on Supramax the trade was rated in the $14/15,000/d and Ultramax at another + $1,000/d difference. Due to the lack of activity in West/Central Med many larger units started to ballast to Cont, this seemed to push down rates. A 63,000 dwt Chinese built was only rated $5,500/d aps Gjon vs $8,000/d for a trip to ECSAm. Even fronthaul levels seemed to pay poorly compared to what we saw recently.
The market had another significant slowdown, even stronger than the previous weeks, with few enquiries and even fewer firm cargoes. 35,000 dwt Handysize units were fixed at $7,000/d and a 28,000 dwt was reported at $7,300/d basis dely Canakkale for a trip via Ukraine to Morocco, practically no premium for calling Ukraine if compared to the previous levels. TA trips for Handies were at $9,000/d to USG and around $7,000/d to ECSAm. Supramaxes were around $7,000/d and Ultramaxes were seeing $8,000/d to USG. Handies on fronthaul were at $11,000/d for trips to China via COGH while Supramaxes rates lost around $2,000/d to $14,000/d and Ultramax tonnage was around $15,000/d.
Handy (USA/N.Atlantic/Lakes/S.America)
The week ended with TransAtlantic rates higher than Fronthaul’s. The hope is for the market to start pushing since the stem's flow recorded a little increase. A trip to Spore/Japan with petcoke was fixed on Ultramax at $19,000/d. On TransAtlantic, the grains trade was covered to WCSAm at $17,000/d on Supramax, to Maputo was done at $20,000/d on an Ultramax and to Med on a Supramax was fixed at $12,000/d. A trip to Spain with petcoke was covered on Supramax at $20,000/d while coal to E Med was done at $17,000/d on Ultramax. On Handies a trip to Turkey with agriproducts was fixed at $13,000/d on a 38,000 dwt and coal to Morocco was done on a same size at $17,000/d.
Handysize rates were decreasing at the start of the week and went up from the middle to end. On larger units the trend was basically the same of Handysize with a low start and a little increase during the week. The number of units in the area remained the same while cargoes slightly improved. At the beginning of the week a 37,000 dwt built 2014 fixed a tct basis dely Santos redely Casablanca at $14,250/d. Then a 28,000 dwt built 2011 open Tema spot was reported on a TA RV with dely Recalada redely NN Fortaleza at $15,000/d. In middle of the week a 35,000 built 2011 open Rio Grande 2/7 Dec fixed a tct with dely Recalada for a trip to WCSAm at $18,000/d and rates were quite higher on similar routes. At the end of the week a shallow 40,000 dwt built 2022 open Santos 17 Dec was reported on subs for a tct dely Recalada to W Africa at $18,500/d. A fronthaul from W Africa via ECSAm to China was rated around $13,500/d on Supramax tonnage, maintaining a stable trend.
Banchero Costa and Co Spa
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