Weekly detailed analysis of world shipping freight markets for all major routes for January 20-27, 2025.
Capesize (Atlantic and Pacific)
Limited activity, weak sentiment and poor fundamentals put rates under further pressure. There were some fresh inquiries in the Atlantic while the Pacific market was inert. The negative sentiment persisted leading to softer rates in general. The lack of confidence is expected to last with the forthcoming Lunar New Year holidays. On the period front, Mercuria fixed the MV Kate (176,405 dwt | 2011 built) basis delivery Dangjin from 26 January onwards for one year time charter at $18,250/d. In the Pacific Rio Tinto fixed three TBN vessels to load its cargoes of 170,000mt +/- 10% iron ore from Dampier to Qingdao, one with laydays 10/12 February at $6.20/mt, another with laydays 13/15 February at $5.95/mt and 15/17 February at $5.85/mt. Vale fixed a TBN vessel to lift its cargo of 180,000mt +/- 10% iron ore from TRMT to Dung Quat, laydays 2/4 February at $3.35/mt. Libra fixed a TBN vessel to lift a stem of 150,000mt +/- 10% coal from Samarinda to Mundra, laydays 11/15 February at $3.90/mt. In the Atlantic basin Trafigura fixed the MV Sheng May (180,651 dwt | 2019 built) for 170,000mt +/- 10% iron ore from Sudeste to Qingdao, laydays 21 February onwards at $17.65/mt. Norden fixed the MV Cape Phoenix (181,356 dwt | 2011 built) for 170,000mt +/- 10% iron ore from Tubarão to Qingdao, laydays 10/16 February at $17.75/mt. Polaris fixed the MV Star Lady (171,877 dwt | 2005 built) for 170,000mt +/- 10% iron ore from Tubarão to Qingdao, laydays 7/16 February at $17.60/mt. Vale fixed the MV Maran Sailor (171,681 dwt | 2006 built) to load its cargo of 170,000mt +/- 10% iron ore from Ponta da Madeira to Taranto, laydays 13/22 February at $8.75/mt. TKSE fixed a Costamare TBN vessel to load a cargo of 180,000mt +/- 10% iron ore from Seven Islands to Rotterdam, laydays 15/24 February at $8.50/mt. Five Ocean fixed a Costamare TBN vessel for one time charter trip via Port Cartier to Pohang at $27,500/d. Out of South Africa, Anglo American fixed the MV Mineral Subic (179,397 dwt | 2011 built) to lift a stem of 170,000mt +/- 10% iron ore from Saldanha Bay to Qingdao, laydays 6/15 February at $12.50/mt.
Panamax (Atlantic and Pacific)
The market remained very weak on all TA routes. ECSAm rates decreased the most losing around $1,300/d. Some of the tonnage arriving from long ballast legs decided to go for shorter voyages, for example loading in S Africa or preferring TAs instead of Fronthauls. Activity in N America dropped as well. Both P1A_82 and P2A_82 lost around $900/d. There is an oversupply of ships, especially compared to the number cargoes in the market. A non-eco Kamsarmax with dely Gib 18 Jan was fixed for a TCT via US EC and redely Skaw/Gib at $7,500/d. A vintage Panamax aps NCSAm 28 Jan agreed $14,000/d for a trip to Skaw/Gib. Another non-eco Kamsarmax with dely Safi 22 Jan agreed $8,250/d for a TCT via USG to Rotterdam $8,250. An eco, scrubber fitted Kamsarmax agreed $11,000/d basis dely retro Sunda Strait 7 Jan for a trip via ECSAm to Spore/Jpn (scrubber benefit to charterers). A Panamax agreed $12,200/d + 220,000 gbb basis dely ECSAm 4/5 Feb for a fronthaul.
As expected, the Pacific market was very quiet and a many units were trying to move to the Atlantic basin. Australia was the most active trade, not that active in any case, at levels around $4,000/d during the whole week. A Panamax 2012 built was reported at $4,250/d basis dely China/Japan for a RV. Indonesia was very quiet and a fancy 81,000 dwt was fixed at $6,750/d basis dely Cigading via Indo to India and rates dropped further by the end of the week. NoPac activity was extremely limited, no relevant fixtures were officially reported.
Handy (Far East/Pacific)
Another poor week with the lack of activity that led rates to decrease further. The feeling is that the increasing amount of prompt tonnage and the imminent holidays will keep pressure on rates. A 56,000 dwt was fixed on an IndoChina trip at $3,000/d basis dely S China and a 61,000 dwt got $8,000/d for a NoPac basis dely Busan.
Handy (North Europe/Black Sea/Mediterranean)
Compared to Med, the Cont/Baltic area held a little better and even showed some improvements. Rates to ECSAm decreased, down to $4/5,000/d, and a 32,000 dwt open Gib fixed around $3,000/d aps/dop, the other destinations showed some increases thanks to a good number of fresh orders. Med destinations were paying premium especially for dirty/scrap cargoes. An eco 40,000 dwt Chinese built was fixed at $9,000/d basis dely aps Baltic redely E Med with scrap. On the same trade a 37,000 dwt got $8,500/d basis dely passing Skaw and a 34,500 dwt achieved $7,400/d basis dely aps Baltic. Other Handies were fixed to Morocco around $6,500/7,000/d and to USG around $6/7,000/d. Rates for larger units remained stable with trips to USG estimated around $5/6,000/d and fronthauls estimated in the low $10,000/d, in line with the previous week.
The market remained stagnant. Most of the charterers with slightly forward cargoes were able to fix in a matter of hours and need only to choose the counterpart they preferred to fix. Very little activity for spot cargoes which were largely not fully firm. This scenario might probably lead to an increase of activity in the short term, it is easier for charterers to conclude cheap sales, but it doesn’t look likely to help improving rates in the short term. The 35,000 dwt tonnage was fixed at $3,000/d level basis dely Canakkale or $5,000/d aps BSea for CrossMed or trips to Cont. Supramax rates were close to Handies around $5/6,000/d aps. Handy TA trips were those who recorded the most evident decrease with fixtures at $7,000/d to USG with cement, which is around $5,000/d aps Med port with clean cargo. A unit was reported at $3,000/d to ECSAm. Supramax tonnage was around $5,000/d and Ultramax were fixing at $6,000/d to USG, sometimes less. Handy fronthauls were around $7,000/d to China, Supramax around $10,500/d and Ultramax $11/11,500/d.
Handy (USA/N.Atlantic/Lakes/S.America)
Another negative week in USG with rarified demand. Cargoes remained scarce while plenty of ships piled up waiting for genuine requirements. A trip to Spore/Japan range with grains was covered on a Supramax at $12,000/d while a trip to Med with coal was fixed at $13,000/d. Grains to WCSAm were done on Ultramax at $16,000/d and a trip from SWP to EC Mexico was covered on a Supramax at $10,000/d.
Rates kept falling with little demand and a tonnage piling up. A 38,000 built 2012 was fixed for a tct with dely aps Recalada to Peru at $15,000/d and a 40,000 built 2024 fixed a tct dely aps Recalada and redely WCSAm at $16,000/d, this route dropped during the week. A 31,000 built 2011 fixed a tct dely aps Recalada with redely Mozambique between at $12,500/d. A strong fixture was done for a 40,000 built 2024 Belem 25/30 Jan fixed a tct with redely Norway int alumina at $11,500/d. A 33,000 built 2013 open Vila do Conde 20/22 Jan fixed a tct with dely Itaqui trip redely Continent at $7,500/d. Fronthaul from W Africa via ECSAm to China was assessed around $10,500/d on Supramax tonnage.
Banchero Costa and Co Spa
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