Larger vessel rates dip across shipping market

Capesize

After the cyclone across Western Australia, C5, the West Australia to Qingdao trade continued its turbulent journey by reaching over US$13 mid-week before ultimately closing at US$12.171. C3, the Brazil to Qingdao trade hovered at the level of US$30 but ultimately closed at US$28.535. Atlantic round voyage and front haul runs both declined, but they are still about twice of the values compared with the second half of March in 2023, at US$25 642 and US$56 625 respectively.

Panamax

It proved to be a compelling week for the panamax sector, where the Atlantic appeared to provide a positional divide with the North Atlantic tonnage under pressure due to a lack of demand. With US$20 000 agreed for an 83 000 DWT delivery NW Africa for a trip via NC South America redelivery Skaw-Gibraltar, rates now appeared sub US$19 000 for the same criteria. Further south the seasonal steady flow of cargo from the Americas kept rates largely flat but appeared to be tapering off as the week ended as a wide bid/offer spread emerged with Charterers stepping back. Asia too saw steady declines as the week progressed with the north of the basin in particular coming under pressure, whilst further south some limited support lent by steady coal demand ex Indonesia along with grain supply emanating from South America. Plenty of period activity the headline rate being an 82 000 DWT delivery Vietnam achieving US$24 000 basis 6/8 months.

Ultramax/supramax

A more positive affair for the sector overall with a strong amount of demand from the Atlantic outpacing the lower activity levels seen from the Asian arena, although there was seemingly a more robust feel from the Indian Ocean as the high levels seen in the South Atlantic saw vessels looking further afield. In the Atlantic, demand from the South Americas saw a 63 000 DWT fixing a trip from South America to Singapore-Japan in the very low US$20 000s plus low US$1 million ballast bonus. For trans-Atlantic runs a 63 000 DWT fixed again from South America to the Continent-Mediterranean at US$27 000. From the US Gulf a 61 000 DWT was heard to have been fixed for a trip to Japan at US$27 000. From the Indian Ocean, a 61 000 DWT fixed delivery Port Elizabeth redelivery Far East at US$23 000 plus US$230 000 ballast bonus. Whilst from Asia limited fresh enquiry from Indonesia saw a 60 000 DWT fixing delivery Hong Kong trip via Indonesia redelivery South Korea at US$15 000.

Handysize

The handy sector saw more visible activity in the Atlantic and levels seeing steady improvements. On the continent, a 36 000 DWT was linked to fixing from Grenaa via Rostock to Morocco at US$17 250 whilst a 32 000 DWT fixed from Hartlepool to the US Gulf at US$13 300. The South Atlantic, continued to see a lack of available tonnage and a 32 000 DWT was rumoured to have fixed from Recalada to the Persian Gulf in the US$20 000s. Also, a 37 000 DWT fixed from Vitoria to Rotterdam at around US$20 000. More activity was also seen in the US Gulf and US East Coast with a 38 000 DWT fixing from Norfolk to the continent at US$11 000. The Pacific region had remained balanced in general with a 38 000 DWT opening in Qingdao fixing a trip to the Persian Gulf at US$14 000, whilst a 37 000 DWT fixed from Bayuquan for an inter Far East trip in the US$15 000s.

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