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Wednesday, 28 October 20
MARKET INSIGHT - INTERMODAL
 The global strive towards eco-friendliness and environmental sustainability in the shipping industry is mounting. There are currently almost 200 countries which are nearing an agreement on commitments aimed at reducing pollutant emissions in commercial shipping as part of the international effort to tackle climate change. Since 2018, ongoing negotiations have materialized under the umbrella of the UN and the International Maritime Organization (IMO), which have been primarily aimed at finding a common ground on how shipping as a whole will reduce its GHG and toxic emissions. From containers to tankers, the industry is in search of a way forward which will encompass a level playing field for all involved stakeholders.
Currently, the main area of conflict among negotiators is the method and severity via which sanctions will be imposed in the event(s) of non-compliance to established and agreed emission benchmarks. European countries believe that the most environmentally harmful ships should be withdrawn by 2029 if they are unable to comply with all emission standards set forth. Other countries, such as China and Japan, consider Europe's proposals to be too strict and recommend mechanisms for imposing fines or sanctions in the event of non-compliance with environmental regulations.
On the other hand, organizations such as the MEPC are seeking to and advocating for the imposition of even more stringent measures than the current ones. This is because they believe that shipping emissions will continue to rise in the coming years. The elevated market and investment uncertainty caused by looming regulatory restrictions coupled with the COVID-19 pandemic have significantly slowed down global seaborne trade. According to the IESC report, the pace of international economic activity remained sluggish throughout 2019, but in 2020 the data changed dramatically due to the COVID-19 epidemic. The World Trade Organization (WTO) predicts that global trade is expected to decrease by approximately 20% in 2020. Many shipping sectors have been faced with a sudden and sharp drop in demand, which in turn has significantly affected fares and revenues. In the dry bulk sector, average daily revenues between January and April 2020, compared to 2019, were lowered by more than 85%, 40% and 35% for Capesize, Panamax and Supramax vessels respectively.
Lockdowns in Europe and North America have had a significant impact on employment rates. The International Monetary Fund has announced that the COVID-19 pandemic will likely push the global economy into a worse recession than that of the 1930s and is warning that the prospects for a global recovery are extremely uncertain. The downturn in shipping is projected to last for more than a year and shipping activity is not expected to improve in the coming months. Given that shipping is a global industry, the decrease in its performance is also due to the fact that much of its active is in the southern hemisphere, where major raw material exporting countries, such as Brazil, are being significantly and adversely affected by the COVID-19 Pandemic. It remains to be seen whether the potential release of a new vaccine in the coming winter months will spark the commencement of a recovery phase in the maritime sector. Moreover, it will be interesting to see whether and to what extent the imposition of more rigorous emission regulations will affect the industry’s much needed recovery.
By Zisis Stylianos
SnP Broker
Compiled by:
Intermodal Research & Valuations
Analysts:
Ms Eva Tzima
Mr.George Panagopoulos
Disclaimer and legal disclosure: For any further queries please do not hesitate to contact our Research & Valuations Department. The information contained in this report has been obtained from various sources, as reported in the market. Intermodal Shipbrokers Co. believes such information to be factual and reliable without making guarantees regarding its accuracy or completeness. Whilst every care has been taken in the production of the above review, no liability can be accepted for any loss or damage incurred in any way whatsoever by any person who may seek to rely on the information and views contained in this material. This report is being produced for the internal use of the intended recipients only and no reproducing is allowed, without the prior written authorization of Intermodal Shipbrokers Co.
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Thursday, 10 September 20
DRY BULK SHIPPING: CHINA'S DEMAND KEEPING THE DRY BULK MARKET GOING - PETER SAND | BIMCO
Overview
An impressive recovery in Chinese dry bulk imports has protected the industry from the effects of falling demand in the rest of the wo ...
Thursday, 10 September 20
TANKER SHIPPING: FREIGHT RATES BACK AT LOSS-MAKING LEVELS AFTER 12 VERY PROFITABLE MONTHS - BIMCO
Overview
A stunningly strong 12 months for the tanker shipping industry is now being replaced by lower freight rates, as lower oil product ...
Thursday, 10 September 20
INDIA'S COAL IMPORTS STUMBLE IN AUGUST, RAISING RISK OF SLOW RECOVERY - REFINITIV | BANCHERO COSTA
After posting a mild recovery in July, India's coal imports have stumbled in August as the South Asian nation battles to restart it ...
Thursday, 10 September 20
THE FIRST 8 MONTHS OF 2020, INDONESIA EXPORTED 217.4 MLN TONNES OF COAL BASED ON REFINITIV - BANCHERO COSTA
The coal market has been hit by a weaker global economy as a result of COVID-19 pandemic and falling industrial electricity demand  ...
Wednesday, 09 September 20
MARKET INSIGHT - INTERMODAL
The uneventful summer lull which is coming to an end soon has left its stigma on the newbuilding market, which has already been devastated by the g ...
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- Electricity Authority, New Zealand
- Global Green Power PLC Corporation, Philippines
- Australian Coal Association
- Price Waterhouse Coopers - Russia
- Orica Australia Pty. Ltd.
- The State Trading Corporation of India Ltd
- Ministry of Finance - Indonesia
- Filglen & Citicon Mining (HK) Ltd - Hong Kong
- The University of Queensland
- Dalmia Cement Bharat India
- Posco Energy - South Korea
- Toyota Tsusho Corporation, Japan
- Marubeni Corporation - India
- Miang Besar Coal Terminal - Indonesia
- Directorate Of Revenue Intelligence - India
- Energy Link Ltd, New Zealand
- VISA Power Limited - India
- Power Finance Corporation Ltd., India
- Petrochimia International Co. Ltd.- Taiwan
- McConnell Dowell - Australia
- OPG Power Generation Pvt Ltd - India
- Bhoruka Overseas - Indonesia
- Dong Bac Coal Mineral Investment Coporation - Vietnam
- Coal and Oil Company - UAE
- Edison Trading Spa - Italy
- Karbindo Abesyapradhi - Indoneisa
- Metalloyd Limited - United Kingdom
- Sojitz Corporation - Japan
- Heidelberg Cement - Germany
- Kideco Jaya Agung - Indonesia
- London Commodity Brokers - England
- Uttam Galva Steels Limited - India
- Commonwealth Bank - Australia
- Savvy Resources Ltd - HongKong
- Orica Mining Services - Indonesia
- LBH Netherlands Bv - Netherlands
- Kumho Petrochemical, South Korea
- Maheswari Brothers Coal Limited - India
- CIMB Investment Bank - Malaysia
- San Jose City I Power Corp, Philippines
- Borneo Indobara - Indonesia
- Anglo American - United Kingdom
- Coastal Gujarat Power Limited - India
- Ministry of Transport, Egypt
- Bhatia International Limited - India
- GVK Power & Infra Limited - India
- Manunggal Multi Energi - Indonesia
- Semirara Mining and Power Corporation, Philippines
- SN Aboitiz Power Inc, Philippines
- Karaikal Port Pvt Ltd - India
- Kepco SPC Power Corporation, Philippines
- Port Waratah Coal Services - Australia
- Bank of Tokyo Mitsubishi UFJ Ltd
- SMG Consultants - Indonesia
- Bukit Baiduri Energy - Indonesia
- Sakthi Sugars Limited - India
- Bulk Trading Sa - Switzerland
- Coalindo Energy - Indonesia
- Jaiprakash Power Ventures ltd
- PowerSource Philippines DevCo
- European Bulk Services B.V. - Netherlands
- Ceylon Electricity Board - Sri Lanka
- PetroVietnam Power Coal Import and Supply Company
- Salva Resources Pvt Ltd - India
- Indogreen Group - Indonesia
- Pendopo Energi Batubara - Indonesia
- Electricity Generating Authority of Thailand
- Bharathi Cement Corporation - India
- Parry Sugars Refinery, India
- Holcim Trading Pte Ltd - Singapore
- South Luzon Thermal Energy Corporation
- Africa Commodities Group - South Africa
- Agrawal Coal Company - India
- Economic Council, Georgia
- Mjunction Services Limited - India
- Madhucon Powers Ltd - India
- Mercuria Energy - Indonesia
- Petron Corporation, Philippines
- Banpu Public Company Limited - Thailand
- Rashtriya Ispat Nigam Limited - India
- Leighton Contractors Pty Ltd - Australia
- Alfred C Toepfer International GmbH - Germany
- Bayan Resources Tbk. - Indonesia
- GN Power Mariveles Coal Plant, Philippines
- Romanian Commodities Exchange
- Ind-Barath Power Infra Limited - India
- Jindal Steel & Power Ltd - India
- Indian Energy Exchange, India
- Essar Steel Hazira Ltd - India
- Sinarmas Energy and Mining - Indonesia
- Central Electricity Authority - India
- Dr Ramakrishna Prasad Power Pvt Ltd - India
- Riau Bara Harum - Indonesia
- Chamber of Mines of South Africa
- AsiaOL BioFuels Corp., Philippines
- Independent Power Producers Association of India
- Gujarat Sidhee Cement - India
- Eastern Coal Council - USA
- CNBM International Corporation - China
- Kalimantan Lumbung Energi - Indonesia
- Altura Mining Limited, Indonesia
- IEA Clean Coal Centre - UK
- ASAPP Information Group - India
- Intertek Mineral Services - Indonesia
- Directorate General of MIneral and Coal - Indonesia
- IHS Mccloskey Coal Group - USA
- Carbofer General Trading SA - India
- India Bulls Power Limited - India
- Larsen & Toubro Limited - India
- Energy Development Corp, Philippines
- Tamil Nadu electricity Board
- Trasteel International SA, Italy
- Billiton Holdings Pty Ltd - Australia
- Krishnapatnam Port Company Ltd. - India
- Samtan Co., Ltd - South Korea
- PTC India Limited - India
- Formosa Plastics Group - Taiwan
- Mintek Dendrill Indonesia
- Attock Cement Pakistan Limited
- TeaM Sual Corporation - Philippines
- Star Paper Mills Limited - India
- Parliament of New Zealand
- Sical Logistics Limited - India
- Kobexindo Tractors - Indoneisa
- Bahari Cakrawala Sebuku - Indonesia
- Thiess Contractors Indonesia
- Indo Tambangraya Megah - Indonesia
- Bangladesh Power Developement Board
- Ministry of Mines - Canada
- Ambuja Cements Ltd - India
- Videocon Industries ltd - India
- Georgia Ports Authority, United States
- White Energy Company Limited
- Vedanta Resources Plc - India
- Siam City Cement - Thailand
- Semirara Mining Corp, Philippines
- Siam City Cement PLC, Thailand
- Wood Mackenzie - Singapore
- Goldman Sachs - Singapore
- Bukit Asam (Persero) Tbk - Indonesia
- Kapuas Tunggal Persada - Indonesia
- Pipit Mutiara Jaya. PT, Indonesia
- Central Java Power - Indonesia
- Global Coal Blending Company Limited - Australia
- Makarim & Taira - Indonesia
- Indika Energy - Indonesia
- International Coal Ventures Pvt Ltd - India
- Vizag Seaport Private Limited - India
- Singapore Mercantile Exchange
- GMR Energy Limited - India
- Maharashtra Electricity Regulatory Commission - India
- Eastern Energy - Thailand
- Offshore Bulk Terminal Pte Ltd, Singapore
- Antam Resourcindo - Indonesia
- Aditya Birla Group - India
- Therma Luzon, Inc, Philippines
- Truba Alam Manunggal Engineering.Tbk - Indonesia
- Meenaskhi Energy Private Limited - India
- GAC Shipping (India) Pvt Ltd
- Timah Investasi Mineral - Indoneisa
- Latin American Coal - Colombia
- Gujarat Mineral Development Corp Ltd - India
- Grasim Industreis Ltd - India
- Malabar Cements Ltd - India
- Lanco Infratech Ltd - India
- Jorong Barutama Greston.PT - Indonesia
- Straits Asia Resources Limited - Singapore
- Globalindo Alam Lestari - Indonesia
- Deloitte Consulting - India
- Bukit Makmur.PT - Indonesia
- MS Steel International - UAE
- Xindia Steels Limited - India
- Sree Jayajothi Cements Limited - India
- Aboitiz Power Corporation - Philippines
- Sarangani Energy Corporation, Philippines
- Baramulti Group, Indonesia
- Oldendorff Carriers - Singapore
- Global Business Power Corporation, Philippines
- Australian Commodity Traders Exchange
- Planning Commission, India
- Chettinad Cement Corporation Ltd - India
- Mercator Lines Limited - India
- TNB Fuel Sdn Bhd - Malaysia
- Kohat Cement Company Ltd. - Pakistan
- Barasentosa Lestari - Indonesia
- Neyveli Lignite Corporation Ltd, - India
- Minerals Council of Australia
- ICICI Bank Limited - India
- New Zealand Coal & Carbon
- Vijayanagar Sugar Pvt Ltd - India
- Binh Thuan Hamico - Vietnam
- Interocean Group of Companies - India
- Meralco Power Generation, Philippines
- SMC Global Power, Philippines
- Indian Oil Corporation Limited
- Asia Pacific Energy Resources Ventures Inc, Philippines
- Cigading International Bulk Terminal - Indonesia
- Asmin Koalindo Tuhup - Indonesia
- The Treasury - Australian Government
- Gujarat Electricity Regulatory Commission - India
- Bhushan Steel Limited - India
- Rio Tinto Coal - Australia
- Indonesian Coal Mining Association
- Iligan Light & Power Inc, Philippines
- Thai Mozambique Logistica
- Wilmar Investment Holdings
- Medco Energi Mining Internasional
- Tata Chemicals Ltd - India
- Kaltim Prima Coal - Indonesia
- Simpson Spence & Young - Indonesia
- Sindya Power Generating Company Private Ltd
- Renaissance Capital - South Africa
- Kartika Selabumi Mining - Indonesia
- Standard Chartered Bank - UAE
- PNOC Exploration Corporation - Philippines
- Merrill Lynch Commodities Europe
- Cement Manufacturers Association - India
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