Weekly detailed analysis of world shipping freight markets for all major routes for December 30, 2024– January 6, 2025.
Capesize (Atlantic and Pacific)
The Capesize market started the New Year quite strong with both basins showing higher rates and a positive note. Both Atlantic and Pacific had the support of cargoes with a few fixtures concluded at solid rates. Sentiment is positive. In Pacific Rio Tinto fixed two TBN vessels to load its cargoes of 170,000mt +/- 10% iron ore from Dampier to Qingdao, both with laydays 18/20 January, at $6.40 and $6.50/mt. FMG fixed a TBN vessel to lift its cargo of 160,000mt +/- 10% iron ore from Port Hedland to Qingdao, laycan 19/21 January at a freight rate in the low $7s/mt. The MV Golden Nimbus (180,503 dwt | 2017 built) fixed a C5 cargo from West Australia to China at $7.10/mt. Cosco fixed the MV Bravos (180,116 dwt | 2010 built) to load a cargo of 160,000mt +/- 10% coal from DBCT to Fancheng, laydays 21 January onwards at $7.15/mt. In the Atlantic basin the MV NGM Honor (179,469 dwt | 2011 built) was fixed at the very end of last year, to lift a cargo of 180,000mt +/- 10% iron ore from Itaguaí to Qingdao, laydays 18/24 January at $19.00/mt basis C3. The last done transatlantic round voyage was a TBN vessel fixed to load a cargo of 170,000mt +/- 10% iron ore from PDM to Eregli, laydays 16/26 January at a freight rate in the high $11s/mt. Cargill fixed a Newcastlemax TBN to load a cargo of 190,000mt +/- 10% iron ore from Brazil plus West Africa option to Qingdao, laydays 23/29 January at a freight rate in the mid $18’s/mt. CSN fixed a TBN vessel to load its cargo of 180,000mt +/- 10% iron ore from Itaguaí to Qingdao, laydays 22 January onwards at $18.60/mt. RWE fixed the MV Shandong New Era (207,999 dwt |2022 built) to load a cargo of 170,000mt +/- 10% bauxite from Boffa to Qingdao, laydays 20/30 January at $18.25/mt. Vale fixed a TBN vessel on 31 December to load a cargo of 150,000mtt +/- 10% iron ore from Sohar to Ain Sokhna, laydays 6/15 January at a freight rate in the mid $16’s/mt. Out of South Africa, cargoes were limited, and no fixtures reported.
Panamax (Atlantic and Pacific)
A strong rebound late last week as activity resumed after the holiday period with notable growth on key Atlantic routes. Compared to the previous week, rates increased significantly, driven by strong demand across TransAtlantic trades. On the P1A_82 route, we observed an increase of more than $400/d with older LME vessels fixing at $14,000/d aps for ECSAm trips to Cont while modern Kamsarmax vessels achieving up to $18,000/d basis redely Skaw/Gib. On P2A_82, a 2019-built unit open Rotterdam on January 3rd was fixed for a TransAtlantic trip via US EC to the F East at $20,000/d. A very modern unit was fixed at $15,000/d + 500,000 gbb for a P6_82 trip from ECSAm and redely Spore/Japan range. TransAtlantic routes, particularly P1A_82, were among the most active, fuelled by strong grain exports from S America and coal imports.
The Panamax market in Pacific faced some further pressure with lower demand and a relatively short fleet list, particularly in EC Australia where operational delays and congestion made owners reluctant to head. Indonesia was slightly better and rates showed signs of recovery towards the end of the week, with Friday seeing a notable increase in rates, driven by new cargo inquiries. At the very beginning of the year a 10 year old Panamax was fixed at $5,500/d on the Indo-China route, while a grain cargo from Barcarena to China was fixed at $36.75/mt for end of Jan dates. An eco Kamsarmax was fixed at $9,250/day for a coastal trip APS Paradip with redelivery at Tuticorin. Then an eco Kamsarmax open in Chiba was fixed at $9,250/day for a TCT via EC Australia and redely Spore/Japan range. Lastly, a coal cargo (80/10%) from Gladstone to Boryeong was fixed at $8,000/day for late January dates. The market is expected to strengthen further as demand picks up and the supply-demand balance improves.
Handy (North Europe/Black Sea/Mediterranean)
Very low activity during the holidays. A lack of cargoes and tonnage that piled up brought rates down on daily basis. Many vessels waited days looking for fresh orders to come out. Handies to Americas were seeing rates in the $6/7,000/d aps Cont/Baltic with premiums paid for trips via Russia. Handies to Med were fixed at levels around $7/8,000/d aps depending on size. Fronthauls were fixed at higher rates, in the low/mid-teens, and on a trip to WCSAm a nice 38,000 dwt Chinese built open Immingham was fixed at $11,900/d dop with fertilizers. Not much activity was recorded for larger units with fronthaul assessed in the mid-teens.
The market has been virtually dead last week. The number of vessels kept increasing and the very few cargoes on the market were fixed within half a day at levels lower than the best charterer’s expectations. 35,000 dwt Handysize were fixed at $5,500/d level basis Canakkale or $6,000/d aps BSea for CrossMed or trips to Cont. TransAtlantic trips for Handies were fixed at $6/6,500/d to USG and $5,000/d to ECSAm, but no fixtures were officially reported. Supramaxes rates were around $6,000/d level while Ultramaxes were seeing $6,500/d to USG. FrontHauls on Handies were done at $8/9,000/d from Med to China via COGH while Supramaxes were at $12,500/13,000/d and Ultramaxes around $14,000/d.
Handy (USA/N.Atlantic/Lakes/S.America)
Rates were still under pressure due to the number of prompt ships and the lack of fresh stems. Trips to Spore/Japan range with grains were fixed on Supramax at $17,000/d and on Ultramax at $19,000/d. On TransAtlantic, woodpellets to UKC were covered at $20,000/d on Ultramax. On Handies a trip to Continent with petcoke was fixed at $13,000/d on a 35,000 dwt while grains to Med were covered on a small handy at $ 10,000/d.
Rates didn't change significantly, however the both the downtrend and slow activity largely persisted. Demand slightly improved during the last few days of the week, especially for larger units. A 36,000 dwt built 2014 was fixed for a tct basis dely ECSAm and redely W Africa at $15,250/d, a tick less than at the end of 2024. A 60,000 dwt built 2015 was fixed basis dely Recalada and redely Peru with grains at $21,500/d. Fronthaul from W Africa via ECSAm to China was assessed around $14,500/d on Supramax tonnage, in line with the end of 2024.
Banchero Costa and Co Spa
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