Märkte | Markets New: Bulker Fixtures Rates push higher despite doubts Tonnage shortages below 4,000 TEU lead market further up. By Michael Hollmann Negative headlines continue to heap up – Syria, Iran, the global trade war. However, growth in global container traffic remains brisk and so does tonnage demand by liner operators. Hence the rise of charter rates for container vessels continued over the past four weeks, with the New Contex up by 7% monthon-month. Most of the improvements were seen at the end of March and start of April as increases slowed down during week 15 (+1.6%) and 16 (+1.0%), with rates for the largest gearless vessels seemingly plateauing after large increases during the first quarter. Older 8,500 TEU ships saw fixing levels in the first half of April firming from 21,000 to 22,500 $/d but activity has since waned off. Three ships between 7,500 and 11,000 TEU were reportedly seeking employment and a number of units were about to come open. Previously ships got fixed early several weeks or months in advance. So is it a sign of weaker demand or are charterers only testing the nerves of shipowners? On the one hand, the peak season (Q2/Q3) is yet to begin which means that operators still have time to put in place capacity upgrades. On the other hand, brokers argue that network capacities have already been stepped up disproportionately. Newbuilding deliveries alone would cause a rise in operated slot capacity by 7–8% this year if all units are deployed. This would even exceed the continued growth in the container trades – estimated at 4–5% – and probably send freight rates further down. Therefore to protect their financial bottom lines and remain profitable, carroers may decide to cut back capacity by returning charter vessels. To date, however, there are no signs of that. Carriers might give it a few more months to see how cargo volumes hold up. The other critical factor is demolition: Scrapping slowed to a trickle of the volumes seen last year. Only a dozen ships of 22,000 TEU in total got sent to the beaches so far this year, prompting analysts to revise forecasts substantially. The consensus now is that demolition will only reach 100,000 to 200,000 TEU this year – less than half the volume scrapped last year. Alphaliner lifted its forecast for fleet growth to 6%, warning that supply side pressure will inevitably increase. In the here and now, rate levels have continued to edge up CONTAINERSHIPS (PERIOD) TEU Name dwt Built Type Speed Cons. Charterer Laycan Period Rate ($) FEEDER / HANDY 724 Max Stability 8,540 2006 g’less 18.5 33 Maersk May 5–7 m Intra-Med (ext) 5,600 1,036 Heinrich Schepers 13,200 2012 g’less 18.5 36 Fesco Apr 14 days Cont / Baltic € 9,000 1,155 Asiatic Neptune 12,300 2007 g’less 18.0 32 Sinokor Apr 6 m Intra-Asia 9,000 1,300 AS Floriana 18,550 2008 g’less 19.0 45 Maersk May 5–6 m Med / Black Sea (ext) 9,500 1,740 Louisa Schulte 23,200 2008 geared 19.5 62 + 3 CMA CGM May 10–12 m Mediterranean 10,500 1,756 Nordlilly 23.800 2016 geared 18.5 42.4 Heung-A Apr 6–8 m Intra-Asia 14,400 1,922 Delphis Gdansk 24,000 2017 g’less 18.0 39.2 Cosco May 4–6 m Cont / Baltic feeder 14,750 SUB-PANAMAX 2,490 Oregon Trader 34,200 2006 geared 22.0 88 Hapag-Lloyd Apr 4–6 m Mediterranean /Caribs net 10,550 2,824 AS Camelia 38,200 2006 g’less 24.0 95 CMA CGM Apr 10–12 m Mediterranean 10,500 2,824 Frisia Göteborg 39,418 2006 g’less 23.0 108 Zim May India / Mediterranean (ext) 11,500 3,649 Hansa Asia 47,500 2013 geared 22.0 124.7 MSC May 12 m Europe / W. Africa 11,500 TRADITIONAL PANAMAX AND WIDEBEAM 4,253 Singapore Bridge 50,953 2002 g’less 24.0 133 Maersk / MCC May 4–6 m Intra-Asia (ext) 10,500 5,041 Herma P. 66,583 2006 g’less 25.5 183 Hyundai Apr 4–8 m Far East / USWC 10,000 5,466 Christa Schulte 65,357 2014 g’less / WB 16.0 38 Maersk May 5–7 m Far East /Australia (ext) net 16,500 5,470 Bernadette 64,500 2009 g’less 23.0 161 Hyundai Apr 4.5–6 m Far East / Europe 10,500 LARGE AND VERY LARGE 5,896 Ensenada 67,170 2001 g’less 24.0 205 ONE Apr 9–11 m Far East net 16,000 5,986 Tasman 67,515 2000 g’less 25.0 200 Zim May 10–14 m Far East / UESC 16,350 8,465 E. R. Texas 100,680 2006 g’less 25.3 250 Cosco May 12 m transpacific trade (ext) 22,500 BULK CARRIER (PERIOD) dwt Name Built Charterer Delivery Period Rate ($) CAPESIZE 179,492 Santa Barbara 2015 Cargill 24.–27.04. Longkou / China 17–20 m (ext) redelivery worldwide 20,250 169,021 Genco Maximus 2009 Trafigura 23.04. Fangcheng /China 3–6 m, redelivery worldwide 14,500 PANAMAX / KAMSARMAX 82,580 Seajourney 2009 Glencore 16.04. China /Japan / Korea 4–6 m, redelivery worldwide 14,250 82,023 Emerald Star 2014 Oldendorff Carriers 13.04. Vizag / India 12 m, redelivery worldwide 13,900 SUPRAMAX / HANDY 56,930 Mandarin Sky 2009 n.a. early April Zhoushan /China 5–7 m, redelivery worldwide 12,500 45,556 Bunun Elegance 2014 Caledonia early April Vietnam 5–7 m, redelivery worldwide 11,500 Charter deals April / all information without guarantee 10 HANSA International Maritime Journal – 155. Jahrgang – 2018 – Nr. 5
Märkte | Markets New Orders Container Activity in the newbuilding market increased slightly. Hyundai Merchant Marine announced to order 20 eco-friendly units and is asking shipyards for prices on twelve 23,000 TEU vessels and eight of 14,000 TEU. Depending on the propulsion, prices range between 150 and 160 mill. $, and 110 and 120 mill. $ respectively. In the feeder segment two orders for 1,800 TEU vessels have been placed. TS Line ordered two units at CSBC for 24 mill. $ each. The other pair, ordered by Japan`s Itochu, will be built at Hyundai Mipo for a time charter with CK Line for a ten years at 10,000 $ per day. Furthermore, Marlink is said to have ordered six 1,162 TEU ships at Fujian Mawei. Secondhand Sales Container Second hand market activity remained high. In total we recorded 18 transactions including six en bloc deals. The biggest vessels sold were two 2012 built 13,000 TEU ships, acquired by Maersk at about 90 mill. $ each. In addition four wide beam carriers (4,700 TEU) were sold for approximately 25 mill. $ each. Another transaction in the bigger segment included the 2014 built »Asiatic Summer« (9,034 TEU). It was acquired by Danish investment company Navigare for 77 mill. $. Further deals encompassed mainly smaller vessels. Two currently-popular geared feeder have been sold to UAE from Carsten Rehder. »Wellington Strait« and »Winchester Strait« (1,740 TEU) changed hands for 13.8 mill. $ en bloc. Demolition Sales Overall scraping activity remained at par with the previous reporting period. Again, only three vessels were sold. Demolition prices are oscillating in a range between 440 $ and 480 $ per light displacement ton. Jan Göldner COMPASS CONTAINER SHIP T/C MARKET 500 17.04.18 460 420 380 16.11.17 Month on Month500 +7.0 % also for all other types below 8,000 TEU. Older 6,000 TEU vessels logged improvements from high 15,000’s $ to mid 16,000’s $ or and even 17,000 $ for delivery in the Atlantic where tonnage availability is tighter than in Asia. Trading activity in the panamax segment eased a bit over the past weeks, but owners should be content to see the market for all kinds of panamaxes firmly above 10,000 $ in all regions. Of note, there have been some new service launches along the east/west corridor, supporting tonnage demand. Arguably, the smaller sectors below 4,000 TEU are enjoying the best prospects because they are considered to be less affected by the cascading effect from the growing deployment of ultra large vessels. Especially smaller self-sustained (geared) ships in niche trades seem to be in a safe spot. Geared 3,500 TEU ships saw fixing levels reach 11,500 $ and so did gearless 2,800/2,700 TEU ships delivering in the Med. In the geared 2,500 TEU, the upward momentum remained intact, too, with rates approaching 11,000 $. The »Oregon Trader« (2,490 TEU) already fixed a net rate of around 10,500 $. In the feeder segments (
