We welcome article submissions from experts in the areas of coal, mining,
shipping, etc.
To Submit your article please click here.
|
|
|
Saturday, 21 December 19
SHIPPING'S SUPPLY AND DEMAND TRENDING OFF BALANCE - BIMCO
 One of the most worrying trends that has developed recently – which will affect shipping demand in the years to come – is the falling trade-to-GDP ratio.
The falling ratio can be explained by slowing globalistation as well as increasing protectionist measures being implemented around the world, spear headed by the US. The raised barriers to trade are here to stay as we enter a new decade, with the shipping industry stuck with the consequences.
The trade war is the clearest example of these extra barriers to trade, and although a phase 1 deal was reached in December, the most difficult issues have yet to be addressed, and BIMCO therefore expects the trade war to continue to plague shipping between the US and China in 2020. Unfortunately, they are not the only countries engaging in tariff wars. The EU also faces additional tariffs from the US and we see trade tensions between Japan and South Korea.
The effects of the worsening of the fundamental shipping market balances this year will be felt in 2020, as the balance is not reset to zero when the calendar year changes. BIMCO continues to warn that the worsening balance between the supply of ships and the demand will be detrimental to shipowners’ ability to pass on the additional costs associated with compliance of the new IMO 2020 Sulphur Cap. It will depend on the freight rates to which extent the additional costs are covered, which in turn depend on the market conditions; the better the market, the easier it is to pass costs on.
Dry Bulk shipping
The biggest concern for Capesize shipping in 2020 is the trend in China, where iron ore imports may fall for the third year in a row. The structural change in China’s steel production, towards using scrap steel in favour of imported iron ore, means that Chinese demand for iron ore can no longer be counted on to increase demand for Capesize ships, with imports having peaked in 2017.
For the dry bulk shipping industry there is more bad news from China. Its soya bean imports have become an important part of the trade war and how it is viewed, but even aside from the trade war, the outlook for soya bean trades into China are weak. Its demand will be considerably lower due to the largest ever culling of pigs which consume most of China’s soya bean imports. It will take years for the Chinese pig population to return to the same size as before the cull, and even then, lowering the soya content in pig’s feed will have lasting consequences on these trades.
The high fleet growth in 2019 (4.1%) will play out into 2020 when the fleet is also expected to grow by more than demand. The cumulative impact of these growth rates mean that the gap between demand for shipping and the supply of ships will continue to grow, putting pressure on freight rates throughout the year.
Tanker Shipping
Crude oil tankers have certainly been in the headlines in 2019 due to geopolitical developments and as freight rates reached record levels as a result, but going into 2020, the fundamentals remain unchanged. This means that after the seasonal boost fades away in the first quarter, the high freight rates in the VLCC-market are likely to disappear, as the market fundamentals have in fact worsened in 2019, with an eight year high fleet growth of 6.3%.
Fleet growth has also been high in the oil product tanker market, with many owners aiming to benefit from the IMO 2020 Sulphur Cap and the boost that BIMCO expects it will bring to the oil product tanker shipping industry. The boost are on the back of the new trades for the transport of compliant bunker fuels from the refineries to the bunkering ports.
While this boost will improve tanker earnings in the first 3-6 months of 2020, once the short term boost will fade away, the challenge facing the market is that the new ships will still be around , and will instead be fighting for cargoes in an already over-supplied market.
One of the major developments expected in 2020 is for the US to become a net exporter of crude oil on an annual basis. The increasing proportion of global crude oil exports coming from the US is good news for the tanker industry as this involves longer sailing distances to the Far East, where the major importers are, compared to exports from the Middle East.
Source: Peter Sand, Chief Shipping Analyst, BIMCO
If you believe an article violates your rights or the rights of others, please contact us.
|
|
Wednesday, 12 February 20
COAL INDIA WILL EXCEED LAST YEAR'S PRODUCTION FIGURES: OFFICIAL - PTI
Despite coal production being hampered at Dipka mines due to prolonged rains, Coal India Ltd will exceed last year’s production figures, a to ...
Wednesday, 12 February 20
MARKET INSIGHT - INTERMODAL
The recent Coronavirus outbreak in China has led to a global health emergency by World Health Organization and it is yet to be seen how long the ph ...
Wednesday, 12 February 20
CHANGES IN LNG MARKET COULD UNDERCUT PLANS FOR NEW JAPANESE COAL PLANTS - CLYDE RUSSELL
Reuters: Clyde Russell
The collapse in the spot price of liquefied natural gas (LNG) in Asia is a short-term phenomenon that may wel ...
Wednesday, 12 February 20
THE SHIPPING INDUSTRY SEES FREIGHT MARKETS IN A COMPLETE STATE OF COLLAPSE AS DEMAND GETS PARALYZED DUE TO CORONAVIRUS OUTBREAK - ALLIED
With China and the world still trying to contain the effects and come to terms with the Wuhan novel coronavirus outbreak, the shipping industry see ...
Wednesday, 12 February 20
WORLD STEEL PRODUCTION IN 2019 - BANCHERO COSTA
In a worrying development, global steel production slowed down considerably in the fourth quarter of 2019. In the final 3 months of 2019, total cru ...
|
|
|
Showing 1141 to 1145 news of total 6871 |
|
 |
|
|
|
|
| |
|
 |
|
|
| |
|
- Malabar Cements Ltd - India
- Latin American Coal - Colombia
- Australian Coal Association
- Global Business Power Corporation, Philippines
- Ministry of Transport, Egypt
- Coal and Oil Company - UAE
- Binh Thuan Hamico - Vietnam
- CIMB Investment Bank - Malaysia
- Posco Energy - South Korea
- Bukit Makmur.PT - Indonesia
- Energy Link Ltd, New Zealand
- Interocean Group of Companies - India
- LBH Netherlands Bv - Netherlands
- Parry Sugars Refinery, India
- Wilmar Investment Holdings
- Formosa Plastics Group - Taiwan
- Merrill Lynch Commodities Europe
- Ind-Barath Power Infra Limited - India
- Agrawal Coal Company - India
- South Luzon Thermal Energy Corporation
- IEA Clean Coal Centre - UK
- Thai Mozambique Logistica
- Kobexindo Tractors - Indoneisa
- Asia Pacific Energy Resources Ventures Inc, Philippines
- Semirara Mining and Power Corporation, Philippines
- Bhushan Steel Limited - India
- The State Trading Corporation of India Ltd
- Mintek Dendrill Indonesia
- Gujarat Mineral Development Corp Ltd - India
- Larsen & Toubro Limited - India
- Sinarmas Energy and Mining - Indonesia
- Dr Ramakrishna Prasad Power Pvt Ltd - India
- Goldman Sachs - Singapore
- Trasteel International SA, Italy
- Vizag Seaport Private Limited - India
- Parliament of New Zealand
- Karbindo Abesyapradhi - Indoneisa
- Bahari Cakrawala Sebuku - Indonesia
- Price Waterhouse Coopers - Russia
- Xindia Steels Limited - India
- Lanco Infratech Ltd - India
- Eastern Coal Council - USA
- Siam City Cement - Thailand
- European Bulk Services B.V. - Netherlands
- GN Power Mariveles Coal Plant, Philippines
- Tata Chemicals Ltd - India
- Economic Council, Georgia
- Gujarat Electricity Regulatory Commission - India
- Sakthi Sugars Limited - India
- Kepco SPC Power Corporation, Philippines
- Thiess Contractors Indonesia
- Meenaskhi Energy Private Limited - India
- Barasentosa Lestari - Indonesia
- Renaissance Capital - South Africa
- Star Paper Mills Limited - India
- PetroVietnam Power Coal Import and Supply Company
- Alfred C Toepfer International GmbH - Germany
- Vijayanagar Sugar Pvt Ltd - India
- India Bulls Power Limited - India
- Indian Oil Corporation Limited
- Rashtriya Ispat Nigam Limited - India
- Riau Bara Harum - Indonesia
- Videocon Industries ltd - India
- Petron Corporation, Philippines
- Aditya Birla Group - India
- ASAPP Information Group - India
- Port Waratah Coal Services - Australia
- IHS Mccloskey Coal Group - USA
- Commonwealth Bank - Australia
- Kideco Jaya Agung - Indonesia
- London Commodity Brokers - England
- Oldendorff Carriers - Singapore
- Madhucon Powers Ltd - India
- CNBM International Corporation - China
- Holcim Trading Pte Ltd - Singapore
- Coastal Gujarat Power Limited - India
- Bulk Trading Sa - Switzerland
- Salva Resources Pvt Ltd - India
- Gujarat Sidhee Cement - India
- Bayan Resources Tbk. - Indonesia
- Indogreen Group - Indonesia
- Edison Trading Spa - Italy
- Energy Development Corp, Philippines
- Independent Power Producers Association of India
- Bukit Baiduri Energy - Indonesia
- Karaikal Port Pvt Ltd - India
- Jorong Barutama Greston.PT - Indonesia
- Central Electricity Authority - India
- Standard Chartered Bank - UAE
- Anglo American - United Kingdom
- Antam Resourcindo - Indonesia
- Indian Energy Exchange, India
- Metalloyd Limited - United Kingdom
- GAC Shipping (India) Pvt Ltd
- Sarangani Energy Corporation, Philippines
- Offshore Bulk Terminal Pte Ltd, Singapore
- Pendopo Energi Batubara - Indonesia
- Essar Steel Hazira Ltd - India
- Sindya Power Generating Company Private Ltd
- Simpson Spence & Young - Indonesia
- Indo Tambangraya Megah - Indonesia
- San Jose City I Power Corp, Philippines
- Power Finance Corporation Ltd., India
- Semirara Mining Corp, Philippines
- Krishnapatnam Port Company Ltd. - India
- Kartika Selabumi Mining - Indonesia
- Intertek Mineral Services - Indonesia
- Ministry of Finance - Indonesia
- GVK Power & Infra Limited - India
- The University of Queensland
- Filglen & Citicon Mining (HK) Ltd - Hong Kong
- The Treasury - Australian Government
- Indonesian Coal Mining Association
- Bharathi Cement Corporation - India
- Petrochimia International Co. Ltd.- Taiwan
- Makarim & Taira - Indonesia
- Indika Energy - Indonesia
- Attock Cement Pakistan Limited
- Georgia Ports Authority, United States
- Dalmia Cement Bharat India
- Global Coal Blending Company Limited - Australia
- Medco Energi Mining Internasional
- Heidelberg Cement - Germany
- Orica Australia Pty. Ltd.
- White Energy Company Limited
- Neyveli Lignite Corporation Ltd, - India
- Jindal Steel & Power Ltd - India
- Kumho Petrochemical, South Korea
- Deloitte Consulting - India
- Maheswari Brothers Coal Limited - India
- Altura Mining Limited, Indonesia
- Bhoruka Overseas - Indonesia
- Carbofer General Trading SA - India
- Electricity Generating Authority of Thailand
- Sical Logistics Limited - India
- Manunggal Multi Energi - Indonesia
- SMG Consultants - Indonesia
- Toyota Tsusho Corporation, Japan
- Baramulti Group, Indonesia
- Bhatia International Limited - India
- Coalindo Energy - Indonesia
- Sojitz Corporation - Japan
- Mjunction Services Limited - India
- Kapuas Tunggal Persada - Indonesia
- Therma Luzon, Inc, Philippines
- Orica Mining Services - Indonesia
- Marubeni Corporation - India
- Grasim Industreis Ltd - India
- Mercator Lines Limited - India
- Directorate Of Revenue Intelligence - India
- Tamil Nadu electricity Board
- OPG Power Generation Pvt Ltd - India
- Siam City Cement PLC, Thailand
- Kalimantan Lumbung Energi - Indonesia
- Uttam Galva Steels Limited - India
- Ceylon Electricity Board - Sri Lanka
- TeaM Sual Corporation - Philippines
- Maharashtra Electricity Regulatory Commission - India
- Meralco Power Generation, Philippines
- Rio Tinto Coal - Australia
- Billiton Holdings Pty Ltd - Australia
- Aboitiz Power Corporation - Philippines
- Bank of Tokyo Mitsubishi UFJ Ltd
- Sree Jayajothi Cements Limited - India
- SN Aboitiz Power Inc, Philippines
- Eastern Energy - Thailand
- Minerals Council of Australia
- Pipit Mutiara Jaya. PT, Indonesia
- Africa Commodities Group - South Africa
- Samtan Co., Ltd - South Korea
- VISA Power Limited - India
- Ministry of Mines - Canada
- Miang Besar Coal Terminal - Indonesia
- PowerSource Philippines DevCo
- Global Green Power PLC Corporation, Philippines
- PNOC Exploration Corporation - Philippines
- Chamber of Mines of South Africa
- Mercuria Energy - Indonesia
- SMC Global Power, Philippines
- Planning Commission, India
- TNB Fuel Sdn Bhd - Malaysia
- Kohat Cement Company Ltd. - Pakistan
- McConnell Dowell - Australia
- Leighton Contractors Pty Ltd - Australia
- PTC India Limited - India
- Iligan Light & Power Inc, Philippines
- International Coal Ventures Pvt Ltd - India
- Jaiprakash Power Ventures ltd
- Romanian Commodities Exchange
- Vedanta Resources Plc - India
- Dong Bac Coal Mineral Investment Coporation - Vietnam
- Timah Investasi Mineral - Indoneisa
- Ambuja Cements Ltd - India
- Chettinad Cement Corporation Ltd - India
- Singapore Mercantile Exchange
- New Zealand Coal & Carbon
- Borneo Indobara - Indonesia
- ICICI Bank Limited - India
- Bukit Asam (Persero) Tbk - Indonesia
- Savvy Resources Ltd - HongKong
- Asmin Koalindo Tuhup - Indonesia
- Straits Asia Resources Limited - Singapore
- Electricity Authority, New Zealand
- Banpu Public Company Limited - Thailand
- Cement Manufacturers Association - India
- Central Java Power - Indonesia
- Globalindo Alam Lestari - Indonesia
- Truba Alam Manunggal Engineering.Tbk - Indonesia
- Cigading International Bulk Terminal - Indonesia
- Australian Commodity Traders Exchange
- Bangladesh Power Developement Board
- Directorate General of MIneral and Coal - Indonesia
- GMR Energy Limited - India
- Kaltim Prima Coal - Indonesia
- AsiaOL BioFuels Corp., Philippines
- MS Steel International - UAE
- Wood Mackenzie - Singapore
|
| |
| |
|
