on the vessel’s design, and possibly a tank test can be performed as part of assessment level 2. VLCC rates have been rising sharply since the US imposed sanctions on units of Cosco Shipping. Land-based transportation has had a stronger recovery than air transport, but it remains lower than this time last year. Rates from the Middle East to Asia are now lower than the low point last year. Ships earned a bit more two weeks ago when voyages to China were paid around WS 48. Clean The last VLCC to be demolished was in June 2019, with only four having been demolished since October 2018. The market for both 75,000mt and 55,000mt from the Middle East Gulf to Japan is still in the mid to high WS150s. Access BIMCO's COVID-19 related articles and advice. Whether or not China continues to make these higher purchases of US crude oil remains to be seen, with any that are made providing a good boost to the crude oil tanker shipping market, given the long sailing distance between the loading and discharging ports. sanctions on Chinese shipping firm COSCO (China Ocean Shipping Company), the price in mid-March 2020 was the highest. This is what happened to me. Want to buy or download a BIMCO publication? The introduction of the new higher 2020 Worldscale (WS) flat rates saw rates adjust downwards, accordingly with the market. According to assessments of VLCC spot rates issued by Clarksons Platou Securities, rates peaked on Oct. 11 at an average of $295,100 per day, fell slightly to $281,000 day on Oct. 14, then took a big dive – down 31% – to $194,900 per day on Oct. 15. • single screw VLCC oil tanker, with 17 cargo oil tanks including 2 slop tanks A and 12 segregated water ballast tanks. World Freight Rates 2020 World Freight Rates… As it looks now, 2022 seems to be the year in which volumes will have recovered. A stunningly strong 12 months for the tanker shipping industry is now being replaced by lower freight rates, as lower oil production and demand sets in across the globe. VLCC This would aim to put a stop to the limited activity that is still happening, primarily with European and Asian buyers. VLCC rates along the Middle East to China route also cooled, falling to about $210,000 per day on Wednesday, down from about $265,000 on Monday, the data ship broking showed. The VV value of a resale VLCC has gone above reached $101.36m as of 1 Nov 2019. Historically, the 10 Year treasury rate reached 15.84% in 1981 as the Fed raised benchmark rates in an effort to contain inflation. Finally we find the short-term distribution of the spot rate when demand is high and low. Similar situation for cargoes heading to China, with rates standing close to WS 46.5. Elsewhere in the world, however, the still-low oil price is hindering some production from being restored. As adopted at the General Meeting in Athens, May 2019. However, as evidenced by flight passenger numbers in the US still being down considerably, demand for oil products still has a way to go. BIMCO's Holiday Calendar covers general holidays in over 150 countries, plus local holidays and working hours in more than 680 ports around the world. Aframax Tanker Spot Rates-10,000 20,000 30,000 40,000 50,000 60,000 70,000 80,000 Q1 Q2 Q3 Q4 Day Source: 90% of Clarksons (Aframax Global Average) Last Updated: January 31, 2020 2018 2019 2020 … His enthusiasm and overwhelming knowledge of the topic is truly inspiring. Owner-, broker- and agency members can access information about non-payment issues, fake invoices and fraudulent behaviour reported to BIMCO. In the long run, however, the lower aviation and transport demand, and fundamentally lower oil consumption, will hurt the industry for at least 15 months. Already, tanker freight rates have fallen from the highs they reached when the market peaked in April, with all crude oil tankers seeing earnings beneath their daily break-even levels. The 30 Year Mortgage Rate is the fixed interest rate that US home-buyers would pay if they were to take out a loan lasting 30 years. Use the link to get access to the ballast water management guide, the ship master’s security manual and many other publications. In fact, crude processing reached its highest ever level in China in July, at 59.6m tonnes, with accumulated year on year volumes up 2.3% in the first seven months of the year. 4 . With tanker rates across all sectors currently at levels well above long-term averages, it is impressive to note the rally in Suezmax rates over the past three months. The EIA doesn’t expect global oil demand to return to pre-pandemic levels in 2021; instead, it sees demand rising to 100.17m bpd in 2021 (in 2019 it was 101.25m bpd). This represents a marked slowdown from last year, when they grew by 4.6% and 6.2% respectively. Despite the relevant lack of demand, shipowners remain resilient to accept lower rates. China recorded its highest crude oil imports in May (48.0m tonnes), only for that record to be broken again in June, when imports totalled 53.1m tonnes. Suezmax Tanker Spot Rates-20,000 40,000 60,000 80,000 100,000 120,000 140,000 160,000 Q1 Q2 Q3 Q4 y Source: 90% of Clarksons (Suezmax Global Average) Last Updated: January 31, 2020 2018 2019 2020. Global crude exports year-to-date (mn b/d) and global VLCC average rate to Asia ($/mt) Declining exports across major regions weigh on freight rates. Tensions have also been on the rise in the Middle East Gulf after US seizures of Iranian oil that was headed to Venezuela – which has also brought an increased focused on ships turning off their AIS locators when loading fuel in Iran, as well as ship-to-ship transfers. Over the full year, BIMCO expects that the oil product tanker fleet will grow by 2.7% and the crude oil tanker fleet by 2.4%. in International Shipping News Index performance for BDI Baltic Exchange Dry Index (BDIY) including value, chart, profile & other market data. Oil product tanker earnings have fared less well, with the largest LR2 tankers earning USD 18,785 per day on 28 August. 270,000mt Middle East Gulf to China is now hovering in the low to mid WS120s, with the market for 280,000mt Middle East Gulf to US Gulf, via Cape/Cape, now assessed in the very low WS60s. For example, if gold is at $1200 per ounce and silver is at $15 per ounce, the ratio would be calculated as $1200/$15 = 80. Heck! The towering price is 140 percent higher than last month's rate level and 50 percent higher than last week's level. VLCC The introduction of the new higher 2020 Worldscale (WS) flat rates saw rates adjust downwards, accordingly with the market. The 130,000mt West Africa to UK Continent market has been steady, with the market sitting at WS142.5 region. In fact, only seven crude oil tankers were demolished in the first eight months of 2020, totalling 681,832 dead weight tonnes (DWT). The drop wipes out six years of demand growth, with 2021 unlikely to see a return to 2019 levels. A six-month review of the deal, originally scheduled for mid-August, has been postponed, with no new date set, highlighting the tensions between the two countries. The high crude oil imports into China have again caused delays at ports, driving up the inefficiency of the fleet and lowering the number of ships that would otherwise be available – and, in that way, supporting freight rates. BIMCO’s statements are our position on topical policy issues which we consider relevant to our members. 5 Preface First and foremost we would like to thank our supervisor, Roar Adland. VLCC Wellness offers slimming, beauty, dermat, hair and laser treatment nearby location with all the latest facilities at the most affordable Cost & Packages. The gold/silver ratio is simply the amount of silver required to buy a single ounce of gold. The question of when demand will return to pre-pandemic levels remains clouded in uncertainty as the virus continues to spread. Given the global recession and lower transport demand, however, the tanker industry is set for some challenging months. View real-time DXY index data and compare to other exchanges and stocks. Handysize rates have recovered from their low of just USD 1,974 per day on 21 August, to stand at USD 5,601 a week later. This means it would take 80 ounces of silver to buy a single ounce of gold. By continuing to use this site, you agree to our use of cookies. 10 VLCC loadings in West Africa have already been fixed for August's first decade. Book Online or Call: 1800-102-8522 At the same time, the supramax index gained 15 points to 1,119, its highest since October 2019. . That compared with $40,700 per day in 2016 and $66,700 in 2015. The lower contracting activity fits with the poorer outlook, which is also reflected in the value of second-hand tankers. Many analysts will use the 10 year yield as the "risk free" rate when valuing the markets or an individual security. With higher bunker costs in US Gulf rates for 270,000mt US Gulf to China is now assessed firmer at between $12.75/13 million. Frontline has announced that the VLCC spot rates by the end of November for oil transports from the Middle East to Singapore will be around USD 41,000 per day, according to a brief from Platou. applied to simulate the probability distribution of the future spot rates under the different speed regimes. In addition to just examining gold price charts, you can also use the gold/silver ratio price chart. By 7 August, the US was supplying 19.4m bpd of oil products, the highest level since 20 March, but still 2.7m bpd (-4.1%) less than in the corresponding week last year. Crude exports on VLCC tankers in July stood at 16.4m b/d, down 33% from a 2020 high of 24.4m b/d in April. According to just-posted fixture reports, they’ve now fallen lower still. There are many different kinds of mortgages that homeowners can decide on which will have varying interest rates and monthly payments. In the US, weekly crude oil production is still reduced from its high point in March (13.1m bpd), standing at 10.7m bpd. Tanker Worldscale Rates; Tanker TCE; Japanese Newbuilding Ship Values; 5 Year Old Secondhand Ship Values; SSY Capesize Indices; Bulk Carrier Freight Rates; Bulk Carrier Time Charter Rates ; Reports; Additional Resources; Please select. Dirty Suezmax Wafr/UKC - 130,000. BIMCO's Shipping Number of the Week, fleet graphics and 3rd party market reports on dry cargo, tanker, container, demolition, newbuilding and sale & purchase. For more info go to our Cookie Policy, Baltic index logs 6th straight week of gains, LPG Trade: The US Market Dominated During 2020, A-share market forecast to sustain bullish growth, Drewry: World Container Index Reaches Highest Level Since 2011, Guide for Carriage of Hazardous Materials, Subscribing I accept the privacy rules of this site, Transport Webinar Series – Maritime | Episode 1, SMM Director Claus Ulrich Selbach on the current status of SMM DIGITAL 2021, PORT IS WHAT WE DO – New filter drum for the METHA, BIMCO’s Q4 Shipping Market Outlook webinar, The city of Piraeus and the Municipal Theatre of Piraeus with Panama Flag colours. BIMCO expects demolition activity to rise as freight rates and actual demand for tanker shipping falls, with total crude oil demolition coming to 7.5m DWT in the full year and 1m DWT of product tankers being demolished. The OPEC+ alliance, which includes the OPEC countries as well as ten other oil producing nations, the largest of which is Russia, has already begun reducing its production cuts, increasing its output by 2m bpd to 7.7m bpd, from 9.7m bpd immediately after the oil price war. In July, China again imported more than 50m tonnes of crude oil (51.3m tonnes). This is either directly, as crude, or after having been processed. New York-based ship broker McQuilling Services forecast charter rates this year for a VLCC voyage from the Middle East to Japan would average $26,300 a day in a report on Wednesday. FREE CHARTS. Test Chart Title X. Tanker TCE. On 28 August, Very Large Crude Carrier (VLCC) earnings averaged USD 16,949 per day, indicating a loss of around USD 7,000 every day. Though Chinese demand for crude oil and oil products has risen from the low point in February, much of this extra crude oil is going straight into storage. Prices for 10-year-old VLCCs and LR2s both fell by 19.2% and 18.4% respectively from the start of the year to late-August. It should be noted that, at present, this assessment method is valid for phase 0 and phase 1 of EEDI. Year to date, no VLCCs have been demolished, while 26 were delivered, resulting in the VLCC fleet growing by 7.9m DWT. At the height of the oil price war, a one-year time charter for a VLCC would cost USD 80,000 per day; by 28 August, this had fallen to USD 36,000. Welcome to WFR, the Destination for Free Instant Market Rates, News, an Exchange Marketplace, and Resources and Tools for Rail, Truck or Ocean freight. Though revised slightly upwards from its May report, when it forecast a drop of 8.3m bpd, the downside risks weigh on the forecast as the coronavirus continues to spread. Dirty VLCC MEG/Jap - 265,000. Though internal demand has recovered in China, international demand has fallen, with exports down to 3.2m tonnes this July compared with 5.5m tonnes last year. Total tanker deliveries have totalled 16.2m DWT so far this year, a 43.9% drop from last year. For all the latest of BIMCO's own market analysis on global shipping, including macroeconomics, dry bulk, tanker and container. All of BIMCO's most widely used contracts and clauses as well as advice on managing charters and business partners. VLCC Services offers scientific solutions for weight Loss, beauty & Skin treatments, laser and lifestyle care. Because the agreement is made in value rather than volume, the recent drop in oil price has made it even harder to achieve than previously, although it would provide an even bigger increase in demand for shipping were China to meet its commitments. According to VV, one of the major drivers of this change is charter rates, which have increased over 1,000% since 15 September 2019, peaking just above $200,000 per day on 11 October, … Dirty VLCC MEG/Jap - 260,000. •he is a double hull oil tanker with longitudinal bulkheads in way of cargo S tank, sunken deck and aft bridge. China remained the largest destination for US seaborne crude oil exports in June, even as exports halved. Geopolitics are pushing VLCC spot rates towards $100,000 a day, as charterers work around the clock to snap up tonnage in a red hot market. Accordingly with the market ratio is simply the amount of silver to buy a single ounce of.... Global recession and lower transport demand, shipowners remain resilient to accept rates..., 547,334 DWT of oil-product tankers have been removed tankers has fallen by 37.9 % so far this,... Among the commodities most affected vlcc rates chart 2020 most quickly, by the lockdowns around world. 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