SGX and EEX successfully completed the transfer of all open interest in the Baltic Panamax 4TC (P4TC) index to the Panamax 5TC (P5TC) index on 16 January 2026, with the migration executed smoothly and without market disruption. This milestone concludes the transition from the long-established 74 000 dwt Panamax vessel specification to the updated 82 500 dwt standard.
Throughout 2025, Baltic Exchange worked closely with the Clearing Houses (CCPs) to prepare the industry for this change. This included market forums, direct stakeholder engagement, and the publication of official circulars outlining the transition process and timeline.
Following the successful migration of open interest to the P5TC, the Baltic will cease publishing the P4TC index, with 30 January 2026 set as the final publication day. For many years, the P4TC has been derived from the P5TC through a fixed differential ($1,336), and although it will no longer be published, the Baltic will continue to provide a calculated P4TC value under licence upon application.
The P5TC superseded the P4TC after the Baltic completed its Panamax vessel-review process, raising the standard vessel from 74 000 dwt to 82 500 dwt, following consultation with the market and in accordance with the criteria set out in the Guide to Market Benchmarks. As an FCA-regulated benchmark administrator, Baltic Exchange follows defined regulatory protocols in transitioning from one index to another to ensure transparency, governance, and market continuity.
“This transition brings the derivatives market fully in line with the physical benchmark that has been in place since 2020. We updated the Panamax standard vessel and timecharter average in 2020 to reflect changes in the global fleet makeup and better represent the underlying trade. By discontinuing the outdated P4TC index and working closely with our CCPs to ensure the P5TC is the industry standard, we are ensuring that the physical and paper markets are now trading on the same contract,” said Stephen Aitchison, Senior Freight Market Assessor at Baltic Exchange.
Peter Blogg, Head of Global Commodities, Business Development at EEX, added, “We see the consolidation of Panamax timecharter average FFA and options open interest under P5TC as a positive step forward for the market. It removes any ambiguity and enables customers to focus on the continued growth of this key sector under the terms of a single index. The successful completion of this transition also sets in place the process for future open interest transfers at EEX.”
Tan Tee Yong, Head of Commodity Derivatives at SGX Commodities, said, “The liquidity switch from P4TC to P5TC marked our first FFA transfer – an industry wide transition delivered through close collaboration across the dry freight ecosystem. SGX worked closely with the market to shape the operational approach, structuring an orderly continuous transition of liquidity, aligning the derivatives markets with the evolving physical benchmarks. We appreciate the strong cooperation from Baltic Exchange, clearing members, interdealer brokers and market participants for their support and active engagement throughout this milestone process.”
With the Panamax migration now complete, the Baltic is managing the planned update to the Capesize sector.
On 2 January 2026, the Baltic formally adopted the 182 000 dwt Capesize (BCI182) as the standard Baltic Capesize
- C5TC(182) has now become the official Baltic benchmark for the Capesize market.essel, replacing the legacy 180 000 dwt specification. As part of this transition:
- The derived C5TC(180) will cease publication on 24 December 2026 and will remain available to market participants under a Licence, ensuring continuity for those requiring legacy data or valuation support.
Baltic Exchange will work closely with SGX and EEX to coordinate the eventual transfer of open interest from C5TC(180) derivatives to C5TC(182) using a migration mechanism equivalent to the Panamax transition.
These coordinated changes across the Panamax and Capesize sectors ensure that Baltic benchmarks continue to reflect the modern fleet, and support the long-term health and transparency of the freight derivatives market. Baltic Exchange remains committed to engaging with all stakeholders as the Capesize transition progresses.
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