News in English
The dry bulk market has witnessed a sharp decline in freight rates
- Λεπτομέρειες
- Δημοσιεύτηκε στις Δευτέρα, 27 Ιανουαρίου 2025 22:46

The dry bulk market has witnessed a sharp decline in freight rates across various vessel segments in the lead-up to the Year of the Snake, coinciding with the traditional Chinese New Year shutdowns across businesses and industries. Capesize rates have taken a significant hit, with the 5TC Average closing the week at 8,156 USD/day, a 29% decrease compared to the previous week, and a level hasn't been seen since 1st March 2023. Similarly, Handysize rates have also weakened, with the 7TC Average currently at 7,406 USD/day, a 9% week-on-week decline, and the lowest level since 11th August 2023. The situation is even more dire for Supramax and Kamsarmax vessels, with rates plunging to their lowest levels since 2020. The Kamsarmax 5TC Average plummeted to 6,969 USD/day, a 14% decline w-o-w, marking its lowest point since 29th May 2020. Similarly, the Supramax 10TC Average has also suffered, reaching 6,044 USD/day, an 18% decrease from the previous week, and the lowest level since 9th June 2020.
The wet market exhibited a similar downward trend during the past week, with the VLCC TC Equivalent and the MR Pacific Basket experiencing the most significant declines. The VLCC TCE closed the week at 36,265 USD/day, a 36% week-on-week decline. The MR Pacific Basket decreased by 29%, currently earning 16,268 USD/day. The Suezmax TCE and the Aframax TCE experienced declines of 9% and 4%, respectively, compared to the previous week, closing at 27,578 USD/day and 24,133 USD/day accordingly.
The outlook for the 2025 period, both for dry and tanker markets, is uncertain and depends to a great extent on the policies of the Trump presidency. WTI crude oil closed the week at USD 74/barrel as President Donald Trump announced plans to press Saudi Arabia and OPEC to lower oil prices as part of his administration's energy priorities. Furthermore, following recent US sanctions that blacklisted 183 additional vessels, freight rates for tankers transporting Russian crude to China have surged significantly. The cost of shipping from the Kozmino terminal, a key export point for Russian oil to Asia, has reportedly increased fivefold to a range of $6.5–$7.5 million per voyage. In India, oil refiners are scrambling to compensate for disrupted Russian supplies following Washington's latest sanctions. To address the shortfall, they are tapping into the spot market while also negotiating long-term agreements with Middle Eastern producers like Aramco and Adnoc for future cargoes. In the meantime, the recent announcement by the Houthi forces limiting their Red Sea attacks suggests a potential normalization of the situation, which could lead to increased traffic through the Suez Canal. Egypt lost more than 60% of the canal's revenues in 2024 compared with 2023, as ships avoided the Red Sea and took the longer route around southern Africa. Finally, U.S. President Donald Trump is considering implementing a 10% tariff on Chinese-made goods, which could take effect as 1st February, a significantly lower figure than the 60% tariff he proposed during his campaign. Analysts project that if the U.S. implements this additional tariff and China retaliates, it could reduce U.S. GDP by USD 55 billion and China's GDP by USD 128 billion over the four years of a second Trump administration.
S&P activity:
Dry:
On the Capesize sector, the "Global Enterprise"- 177K/2010 Namura was sold via purchase option for USD 29 mills to Korean buyers basis DD due. Chronos Shipping sold the Kamsarmax "Kleisoura" - 81K/2017 JMU for excess USD 28 mills. Same owners sold also the "Athina II"- 82K/2015 Sanoyas and the "Volos" - 82K/2014 Sanoyas for USD 25 mills and USD 24.5 mills respectively to Greek buyers. The Ultramax "CMB Rubens" - 64K/2018 Shin Kasado found new owners for mid/high USD 27 mills, whilst the Supramax "Prabhu Mihikaa"- 56K/2005 Oshima was sold for mid USD 10 mills to Vietnamese buyers basis SS/DD due. Finally, the Handysize "Rojarek Naree"- 30K/2005 Shikoku changed hands for USD 8.5 mills.
Tanker:
UK based buyers acquired the Suezmax "Nordic Apollo" - 160K/2003 Samsung for USD 22.5 mills. The Aframax "Crude Centurion" - 113K/2010 New Times was sold for USD 33 mills. On the MR2 sector, the "Nord Himalaya" - 50K/2011 Onomichi found new owners for excess USD 25 mills. Last but not least, the Small tanker "AB Serena" - 13K/2008 Jinse Shipbuilding was sold for region USD 11 mills to Indian buyers.
Xclusiv Shipbrokers Inc.