Global Maritime Hub https://globalmaritimehub.com Shipping, trade and ports market analysis Fri, 20 May 2022 10:53:56 +0000 en-US hourly 1 https://wordpress.org/?v=5.9.3 https://globalmaritimehub.com/wp-content/uploads/2020/10/flavicon-Global-Maritime-Hub-logo-01-copy.png Global Maritime Hub https://globalmaritimehub.com 32 32 Port congestion in Europe continues to worsen https://globalmaritimehub.com/port-congestion-in-europe-continues-to-worsen.html https://globalmaritimehub.com/port-congestion-in-europe-continues-to-worsen.html#respond Fri, 20 May 2022 10:53:56 +0000 https://globalmaritimehub.com/?p=9779 Port congestion in North Europe continues to worsen Very high yard densities at North European container terminals and inland transport bottlenecks are aggravating port congestion problems in the trade between the Far East and North Europe. Container ships deployed on this route currently need on average 101 days to complete a full round voyage. This […]

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Port congestion in North Europe continues to worsen

Very high yard densities at North European container terminals and inland transport bottlenecks are aggravating port congestion problems in the trade between the Far East and North Europe.

Container ships deployed on this route currently need on average 101 days to complete a full round voyage.

This means that they arrive on average 20 days late in China for their next round trip, forcing carriers to blank some sailings as there is no ship available.

An example of how much time ships can lose by waiting at sea: when the 20,170 teu MOL TRIUMPH left Qingdao on Feb’ 16 for THE Alliance ‘FE4’ loop, she was expected to arrive at Algeciras on Mar’ 25 and to leave North Europe again bound for the Far East in Antwerp on Apr’ 7

The ship actually arrived at Algeciras on April 2 and called at Rotterdam (April 12-15), Antwerp (April 26-May 3) and Hamburg (May 14-18). The vessel is finally leaving North Europe this week already 41 days behind schedule

Source: Alphaliner

 

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MABUX: Bunker Weekly Outlook, Week 20, 2022 https://globalmaritimehub.com/mabux-bunker-weekly-outlook-week-20-2022.html https://globalmaritimehub.com/mabux-bunker-weekly-outlook-week-20-2022.html#respond Thu, 19 May 2022 14:12:46 +0000 https://globalmaritimehub.com/?p=9773 Over the Week 20, the world bunker indices did not have a firm trend and changed irregular. The 380 HSFO index rose by 18.88 USD: from 718.62 USD/MT to 737.50 USD/MT. The VLSFO index went up more significantly: by 36.82 USD: from 933.73 USD/MT to 970.55 USD/MT. The MGO index, on the contrary, fell by […]

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Over the Week 20, the world bunker indices did not have a firm trend and changed irregular. The 380 HSFO index rose by 18.88 USD: from 718.62 USD/MT to 737.50 USD/MT. The VLSFO index went up more significantly: by 36.82 USD: from 933.73 USD/MT to 970.55 USD/MT. The MGO index, on the contrary, fell by 21.06 USD (from 1267.92 USD/MT to 1246.86 USD/MT). There are no signs of a sustainable trend’s formation in the global bunker market yet.

Bunker-Weekly-OutlookThe Global Scrubber Spread (SS) weekly average – the price difference between 380 HSFO and VLSFO – continued its firm growth over the week – plus $ 7.78 ($ 218.25 versus $ 210.47 last week). At the same time, in Rotterdam, the SS Spread’s average value, on the contrary, continued to decline: $ 178.33 vs. $ 184.43 (minus $ 6.50 compared to last week). In Singapore, the average price difference of 380 HSFO/VLSFO in turn showed an unexpectedly sharp growth, approaching again $200 mark: $191.50 vs. $121.83 (up $69.67 compared to last week). SS Spread values still don’t have a firm dynamics. More information is available in the Price Differences section at mabux.com.

Bunker-Weekly-OutlookGas prices in Europe remain at high levels amid the ongoing escalation of the conflict in Ukraine. Prices for LNG as bunker fuel in the port of Sines (Portugal) fell on May 16 by 92 USD to 1917 USD/MT (versus 2009 USD/MT a week earlier). Nevertheless, LNG prices are still significantly higher than those of traditional bunker fuels: for comparison, the MGO LS price index at the port of Sines was quoted at 1293 USD/MT as of May 16.

Bunker-Weekly-OutlookOver the week 20, the average correlation of MABUX MBP Index (market bunker prices) vs MABUX DBP Index (MABUX digital bunker benchmark) has not changed: all major bunker fuels grades are in the overcharge area in all selected ports. Thus, 380 HSFO fuel’s overcharge margins in a week were: in Rotterdam – plus $ 16 (versus plus $ 29 the week before), in Singapore – plus $ 46 (plus $ 114), in Fujairah – plus $ 51 (plus $ 107) and in Houston – plus $79 (plus $102). In the 380 HSFO’s segment, MABUX MBP/DBP Index (MDI) showed a reduction in the overprice premium across all selected ports.

VLSFO fuel grade, according to MDI, remained overpriced at all selected ports, while overprice premium narrowed here as well: plus $20 (plus $42 a week before) in Rotterdam, plus $50 (plus $51) in Singapore, plus $54 (plus $66) in Fujairah and plus $23 (plus $50) in Houston.

As for MGO LS, MDI also registered an overpricing of this fuel grade over the week in all four selected ports: Rotterdam – plus $ 12 (plus $ 75 the week before), Singapore – plus $ 38 (minus $ 26), Fujairah – plus $ 178 (plus $126) and Houston – plus $118 (plus $155). Here MDI did not have a firm trend and changed irregular: an overcharge decline in Rotterdam and Houston, and rose in Singapore and Fujairah.

Bunker-Weekly-OutlookIn general, high volatility remains in the global bunker market, which prevents the formation of a sustainable trend in bunker prices.

Some 3,742,300 metric tonnes (mt) of bunker fuel were sold in the Port of Singapore last month – 12.1% down on the 4,256,500 mt registered in April 2021. Last month’s total was also the second-lowest monthly total of 2022 after the 3,501,600 mt of bunker sales recorded in February. In March, reports of a bunker contamination crisis began to surface – and by mid-April, the Maritime and Port Authority of Singapore (MPA) estimated that the affected marine fuel had been supplied to around 200 ships of which 80 reported various issues with their fuel pumps and engines. The extent to which the episode has impacted confidence in the Singapore marine fuels market remains to be fully seen, nevertheless sales of HSFO saw a month-on-month (m-o-m) decrease. Marine fuel oil (MFO) 380 cSt fell from 962,600 mt in March to 914,500 mt in April while MFO 500 cSt sales plummeted from 124,900 mt to 27,200 mt. Despite the drop off in HSFO sales, low sulphur fuel oil (LSFO) sales held firm. Sales of LSFO 380 cSt rose from 1,741,700 mt in March to 1,832,600 mt in April. Low sulphur marine gasoil sales rose 2.5% on the month to 278,600 mt. The total amount of marine fuel sold during the first four months of the year at the Port of Singapore stands at 15,047,400 mt – 11.9% down on the 17,078,900 mt of bunker sales registered during the same period in 2021.

We do expect bunker indices to change upwards next week amid high volatility and possible ban on Russian oil.

Source: www.mabux.com

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MABUX: Bunker Weekly Outlook, Week 19, 2022 https://globalmaritimehub.com/mabux-bunker-weekly-outlook-week-19-2022.html https://globalmaritimehub.com/mabux-bunker-weekly-outlook-week-19-2022.html#respond Thu, 12 May 2022 13:58:49 +0000 https://globalmaritimehub.com/?p=9763 Over the Week 19, the global bunker indices showed a moderate decline. The 380 HSFO Index fell by 21.36 USD: from 744.06 USD/MT to 722.70 USD/MT. The VLSFO Index dropped by 23.23 USD: from 950.12 USD/MT to 926.89 USD/MT. The MGO Index also lost 21.64 USD (from 1298.43 USD/MT to 1276.79 USD/MT). The market still […]

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Over the Week 19, the global bunker indices showed a moderate decline. The 380 HSFO Index fell by 21.36 USD: from 744.06 USD/MT to 722.70 USD/MT. The VLSFO Index dropped by 23.23 USD: from 950.12 USD/MT to 926.89 USD/MT. The MGO Index also lost 21.64 USD (from 1298.43 USD/MT to 1276.79 USD/MT). The market still does not have a firm trend amid persistently high volatility.

Bunker-Weekly-Outlook

The Global Scrubber Spread (SS) weekly average – the price difference between 380 HSFO and VLSFO – unexpectedly increased over the week – for the first time in the last three weeks – plus $8.64 ($210.47 vs. $201.83 last week). At the same time, in Rotterdam, the SS Spread’s average value, on the contrary, showed a significant decrease, falling below $ 200: $ 184.83 versus $ 217.33 (minus $ 32.50 compared to last week). This is the first drop of SS Spread in Rotterdam in the last five weeks. In Singapore, the average price difference of 380 HSFO/VLSFO showed growth, exceeding again the psychological mark of $100: $121.83 vs. $94.67 (up $21.76 compared to last week). SS Spread values do not have any firm dynamics. More information is available in the Price Differences section of mabux.com.

Bunker-Weekly-Outlook

Gas prices in Europe remain at record levels amid the ongoing escalation of the conflict in Ukraine and concerns about the possible ban on Russian gas import. Price for LNG as bunker fuel in the port of Sines (Portugal) on May 09 was at the level of 2009 USD/MT. LNG prices are still significantly higher than those of traditional bunker fuels. The MGO LS price at the same port on May 09 was quoted at 1367 USD/MT.

Over the Week 19, the average correlation trend of MABUX MBP Index (market bunker prices) vs MABUX DBP Index (MABUX digital bunker benchmark) did not change: all major bunker fuel grades are in the overcharge zone in all selected ports. Thus, 380 HSFO fuel’s overcharge margins in a week were: in Rotterdam – plus $ 29 (plus $ 40 at the end of the last week), in Singapore – plus $ 114 (plus $ 125), in Fujairah – plus $ 107 (plus $ 96) and in Houston, plus $102 (plus $115). In the 380 HSFO segment, MABUX MBP/DBP Index (MBI) did not have a single trend: in Rotterdam, Singapore and Houston, the overprice premium dropped, in Fujairah – rose.

VLSFO fuel grade, according to MBI, was also overpriced at all selected ports: plus $42 (plus $99 a week earlier) in Rotterdam, plus $51 (plus $48) in Singapore, plus $66 (plus $58) in Fujairah and plus $50 (plus $99) in Houston. Here MBI also did not have a firm trend: the overcharge decreased in Rotterdam and Houston, and increased in Singapore and Fujairah.

As for MGO LS, MBI also registered an overpricing of this type of fuel over the week in all four selected ports: Rotterdam – plus $ 75 (plus $ 116 a week earlier), Singapore – plus $ 26 (minus $ 27), Fujairah – plus $ 126 (plus $108) and Houston – plus $155 (plus $72). In MGO segment, MBI also changed irregular: growth in Rotterdam and Singapore, and decline in Fujairah and Houston.

Bunker-Weekly-Outlook

Brussels-based Transport & Environment (T&E) has detailed what it believes needs to be included in the FuelEU Maritime proposal to increase the uptake of green hydrogen in shipping. First of three recommendations: T&E called for a 6% mandate of green hydrogen-based fuel to be used in European Union shipping by 2030 under the draft FuelEU Maritime Regulation. In its second recommendation, T&E proposed to advance European Commission (EC)-proposed regulatory targets by five years and set 2050 as the sunset date for the last use of GHG emitting fuels. Finally, T&E called for the application of a multiplier of five to the use of green H2(-based fuels) in shipping under the FuelEU Maritime Regulation. ‘Multiplier functions like a “discount” system allowing the use of each tonne of green H2 (based fuels) count five times towards achieving the regulatory targets,’ explained T&E. ‘In practice, this helps to fully bridge the cost-gap between green H2 (based fuels) and fossil fuels.’Multipliers, said T&E, should only apply to volumes used above the sub-quota in order to provide additional incentives to shipowners/operators to switch to green H2-based fuels.

We do not expect any firm trend in the global bunker market in the near-term outlook. Next week, bunker indices are likely to continue irregular fluctuations.

Source: www.mabux.com

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MABUX: Bunker Weekly Outlook, Week 18, 2022 https://globalmaritimehub.com/mabux-bunker-weekly-outlook-week-18-2022.html https://globalmaritimehub.com/mabux-bunker-weekly-outlook-week-18-2022.html#respond Fri, 06 May 2022 02:42:59 +0000 https://globalmaritimehub.com/?p=9733 Over the Week 18, global bunker indices turned again into an uptrend. The 380 HSFO index rose by 18.89 USD: from 720.80 USD/MT to 739.69 USD/MT. The VLSFO index went up by 20.72 USD: from 925.71 USD/MT to 946.43 USD/MT. The MGO index rose most significantly: by 78.17 USD (from 1219.71 USD/MT to 1297.88 USD/MT). […]

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Over the Week 18, global bunker indices turned again into an uptrend. The 380 HSFO index rose by 18.89 USD: from 720.80 USD/MT to 739.69 USD/MT. The VLSFO index went up by 20.72 USD: from 925.71 USD/MT to 946.43 USD/MT. The MGO index rose most significantly: by 78.17 USD (from 1219.71 USD/MT to 1297.88 USD/MT). The ongoing military conflict in Ukraine keeps the global bunker market highly volatile.

Bunker Weekly OutlookThe Global Scrubber Spread (SS) weekly average – the price difference between 380 HSFO and VLSFO – continued its moderate decline over the week – minus $8.09 ($201.83 versus $209.92 last week). At the same time, the difference in absolute values increased by $1.83 at the end of the week. In Rotterdam, the average SS Spread also dropped from $224.83 to $217.33 (down $7.50 from last week), but the difference in the SS Spread’s absolute values rose by $13.00 at the end of the week. The 380 HSFO/VLSFO price difference at the port of Singapore continued to narrow over Week 18, with the average dropping another $9.66 and falling below the $100 psychological mark ($94.67 vs. $104.33 last week). We believe that the reduction in SS Spread in Singapore is temporary as it remains consistently above $100 in other regions. For more information, see the Price Differences section of mabux.com.

Bunker Weekly OutlookThe increase in LNG prices seems to be continuing to have an impact on LNG bunker volumes Europe and in Rotterdam, in particular. The 111,804 cubic metres (cbm) sold at the port in the latest quarter was up on the 94,454 cbm sold in Q4 2021, but was still down significantly on the 212,719 cbm total for Q3 2021 (which is still Rotterdam’s highest quarterly LNG bunkering volume to date).

Over the Week 18, the average correlation of MABUX MBP Index (market bunker prices) vs MABUX DBP Index (MABUX digital bunker benchmark) was mostly in the overcharge zone. Thus, 380 HSFO fuel was overpriced by $29 in Rotterdam, by $125 in Singapore, by $103 in Fujairah and by $101 in Houston. The MABUX MBP/DBP Index (MBI) in the 380 HSFO segment did not have any firm trend over the week: the overcharge premium decreased in Rotterdam and Houston, while it increased in Singapore and Fujairah.

VLSFO fuel grade, according to the MBI index, was also overpriced in all selected ports: plus $79 in Rotterdam, plus $48 in Singapore, plus $60 in Fujairah and plus $57 in Houston. Here, the changes in the MBI index also did not have a single trend: the overcharge premium increased in Fujairah, decreased in Rotterdam and Houston, but did not change in Singapore.

As for MGO LS, for the first time in the last two months, the MBI index registered an average underestimation of this fuel grade: Singapore – minus $ 25. In other selected ports, MGO LS fuel remained overvalued: Rotterdam – plus $ 92, Fujairah – plus $ 66 and Houston – plus $ 11. In general, in the MGO LS segment, there has been a reduction trend in fuel overcharge premium in all ports.

Bunker Weekly OutlookThe volumes of high sulphur fuel oil (HSFO) and ultra low sulphur fuel oil (ULSFO) sold in the Port of Rotterdam in the first quarter of 2022 were up y-o-y by around 14% and 41% respectively at 706,491 tonnes and 284,134 tonnes – but very low sulphur fuel oil (VLSFO) sales were down around 1% at 966,223 tonnes. Although HSFO sales were up on the first quarter of 2022, they were down on the preceding quarter – Q4 2021 – when the port’s suppliers delivered 745,271 tonnes of the high sulphur product. Given that the Russia-Ukraine conflict has already had an impact on Rotterdam’s fuel oil cargo volumes – there may well be a further drop in HSFO bunker sales in the Q2 figures.

As per new Q1 2022 statistics from Bureau Veritas VeriFuel,  some 4.3% of very low sulphur fuel oil (VLSFO) fuel samples in the ARA region were off-spec in Q1 2022. Sulphur content was the ‘culprit’ in the ARA, while sediment was the reason for 3.3% of off-spec samples in Malta, followed by 2.9% in Istanbul, caused by density issues. From a global ports perspective, there were minimal changes quarter on quarter in terms of meeting ISO 8217 specifications. The global average of off-spec fuel samples due to sulphur content was 1.7%, up on the 1.3% seen in the last quarter of 2021 but down in comparison to the first quarter of last year, where it was 2.2%.

The instability in Global bunker market continues. We expect bunker indices may have sharp irregular fluctuations next week.

Source: www.mabux.com

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Evergreen and CMA CGM drive Asia – Europe capacity growth. https://globalmaritimehub.com/evergreen-and-cma-cgm-drive-asia-europe-capacity-growth.html https://globalmaritimehub.com/evergreen-and-cma-cgm-drive-asia-europe-capacity-growth.html#respond Fri, 06 May 2022 02:24:40 +0000 https://globalmaritimehub.com/?p=9729 Last month, Alphaliner counted 348 container ships deployed between Asia and Europe. This armada represents a total capacity of 5.45 Mteu, which is an increase of 10.4% compared to April last year. This percentage is clearly above the 4.3% growth for the world container fleet in the same period, but substantially lower than the 24% […]

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Last month, Alphaliner counted 348 container ships deployed between Asia and Europe. This armada represents a total capacity of 5.45 Mteu, which is an increase of 10.4% compared to April last year.

This percentage is clearly above the 4.3% growth for the world container fleet in the same period, but substantially lower than the 24% capacity increase on the Asia – North America trade.

The dynamics on the two big East West trades appear to be very different.

Contrary to the Transpacific, the newcomers on the Asia—Europe trade still have a very modest combined market share of only 1.2% and the big #carriers operate only a few ad-hoc ’extra sailers’ outside the three mega alliances.

Evergreen and CMA CGM have led the capacity growth over the past twelve months, adding respectively 147,500 and 118,700 teu slots to their fleets being operated on dedicated Far East—Europe services.

Source: Alphaliner

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MABUX: Bunker Weekly Outlook, Week 17, 2022 https://globalmaritimehub.com/mabux-bunker-weekly-outlook-week-17-2022.html https://globalmaritimehub.com/mabux-bunker-weekly-outlook-week-17-2022.html#respond Thu, 28 Apr 2022 11:11:13 +0000 https://globalmaritimehub.com/?p=9710 Volatility in the global bunker market, caused by the military conflict in Ukraine, is gradually decreasing, and bunker prices are in a state of temporary stabilization. As a result, over the Week 17, MABUX Bunker Index showed a slight downward correction. The 380 HSFO index fell by 8.90 USD: from 726.92 USD/MT to 718.02 USD/MT. […]

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Volatility in the global bunker market, caused by the military conflict in Ukraine, is gradually decreasing, and bunker prices are in a state of temporary stabilization. As a result, over the Week 17, MABUX Bunker Index showed a slight downward correction. The 380 HSFO index fell by 8.90 USD: from 726.92 USD/MT to 718.02 USD/MT. The VLSFO index went down by 9.97 USD: from 934.15 USD/MT to 924.18 USD/MT. The MGO index also dipped by 10.51 USD (from 1225.56 USD/MT to 1215.05 USD/MT). At the same time, high volatility continues to persist in the market.

MABUX: Bunker Weekly Outlook

The Global Scrubber Spread (SS) weekly average – the price difference between 380 HSFO and VLSFO – continued its moderate decline over the week – minus $1.99 ($209.92 vs. $211.91 last week). In Rotterdam, the average value of SS Spread, on the contrary, rose from $220.83 to $224.83 (plus $4.00 compared to last week). At the same time, 380 HSFO/VLSFO price difference at the Port of Singapore continues to narrow: the average down by another $19.17 (from $123.50 to $104.33), and in absolute value, SS Spread fell below the $ 100 psychological mark and showed $ 96 as of April 27. More information is available in the Price Differences section of mabux.com.

MABUX: Bunker Weekly Outlook

Benchmark prices for natural gas in Europe rose sharply as Russian gas monopoly Gazprom confirmed that it has stopped supplies to Poland and Bulgaria. The EU and Russia are still in a standoff over demand that Russia’s “unfriendly” nations—such as all EU members and the UK, among many others—pay in rubles for Russian gas. Meanwhile, the European Commission said that companies in the EU may have a way to pay for Russia’s gas in rubles without violating sanctions on Moscow. Due to high volatility in European gas market LNG as a bunker fuel is still not listed.

Over the Week 17, the average correlation trend of MABUX MBP Index (market bunker prices) vs MABUX DBP Index (MABUX digital bunker benchmark) did not change: all major bunker fuels are in the overcharge zone in all selected ports. Thus, 380 HSFO fuel’s overcharge margins in a week were: in Rotterdam – plus $ 40 (plus $ 33 last week), in Singapore – plus $ 125 (plus $ 107), in Fujairah – plus $ 96 (plus $ 97) and in Houston – plus $115 (plus $92). MABUX MBP/DBP Index (MBI) overprice premium in the 380 HSFO segment rose slightly.

VLSFO fuel grade, according to MBI, was also overpriced at all selected ports: plus $99 (plus $82) in Rotterdam, plus $48 (plus $44) in Singapore, plus $58 (plus $47) in Fujairah, and plus $99 (plus $102) in Houston. MBI did not have a firm trend in the VLSFO segment: the overpricing increased in Rotterdam, Singapore and Fujairah, but decreased in Houston.

As for MGO LS, MBI also registered an overpricing of this type of fuel over the week in all four selected ports in a week: Rotterdam – plus $116 (plus $84 a week earlier), Singapore – plus $27 (minus $37), Fujairah – plus $108 (plus $101) and Houston – plus $72 (plus $119). Here, MBI also did not have a firm dynamics and changed irregular: growth in Rotterdam and Fujairah, decline in Singapore and Houston.

MABUX: Bunker Weekly Outlook

The Port of Rotterdam has reported that its freight throughput for the first quarter of 2022 was 1.5% down y-o-y, with a big drop in mineral oil products and Russian fuel oil cargoes in particular. In total, liquid bulk throughput decreased by 1.0% to 51.5 million tonnes. While the volume of crude oil remained virtually unchanged (just 0.2% down at 25.5 million tonnes), the throughput of mineral oil products – and fuel oil in particular – was down significantly, dropping more than 20% at 13.5 million tonnes. The Port Authority noted that around 13% of Rotterdam’s cargo throughput in 2021 was ‘Russia-oriented’ – and roughly 30% of crude oil, 25% of LNG, and 20% of oil products and coal came from Russia. While Rotterdam’s Q1 results registered a drop in the throughput of Russian cargoes, the full impact of the Russia-Ukraine conflict will be more apparent in the Q2 figures.

The global bunker market remains highly volatile amid the ongoing military conflict in Ukraine. We expect bunker indices to edge up next week.

Source: www.mabux.com

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MABUX: Bunker Weekly Outlook, Week 16, 2022 https://globalmaritimehub.com/mabux-bunker-weekly-outlook-week-16-2022.html https://globalmaritimehub.com/mabux-bunker-weekly-outlook-week-16-2022.html#respond Thu, 21 Apr 2022 14:57:16 +0000 https://globalmaritimehub.com/?p=9700 High volatility remains in the global bunker market, accompanied by sharp irregular changes of bunker indices. Over the Week 16, MABUX Bunker Index switched again to firm upward evolution. The 380 HSFO Index rose by 16.94 USD: from 712.01 USD/MT to 728.95 USD/MT. The VLSFO Index went up by 13.04 USD: from 921.54 USD/MT to […]

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High volatility remains in the global bunker market, accompanied by sharp irregular changes of bunker indices. Over the Week 16, MABUX Bunker Index switched again to firm upward evolution. The 380 HSFO Index rose by 16.94 USD: from 712.01 USD/MT to 728.95 USD/MT. The VLSFO Index went up by 13.04 USD: from 921.54 USD/MT to 934.58 USD/MT. The MGO Index showed the most significant growth – by 50.30 USD (from 1173.82 USD/MT to 1224.12 USD/MT), due to a sharp decline in Russian oil products’ supplies in the global bunker market.

Bunker Weekly OutlookThe Global Scrubber Spread (SS) weekly average – the price difference between 380 HSFO and VLSFO – continued its moderate decline in a week – minus $3.41 ($211.91 versus $215.32 last week). In Rotterdam, the average value of SS Spread, on the contrary, rose slightly from $208.83 to $220.83 (plus $12.00 compared to last week). Meantime, the 380 HSFO/VLSFO price difference at the Port of Singapore continues to shrink sharply, with the average down another $23.83 (from $147.33 to $123.50) and in absolute value the SS Spread has dropped to $112.00 as of April 20. Thus, SS Spread in Singapore came close to the $100 mark. More information is available in the Price Differences section of mabux.com.

Bunker Weekly Outlook

As per the International Energy Agency’s (IEA) estimation, the global demand for natural gas is set to ‘decline slightly’ this year as a result of higher prices and market disruptions caused by Russia’s invasion of Ukraine. The IEA had previously forecast a 1% growth in its quarterly update published in January. The new downward revision to the forecast amounts to 50 billion cubic metres (cbm), the equivalent of about half of last year’s US LNG exports. The IEA noted that average spot LNG prices in Asia during the 2021-22 heating season were more than four times their five-year average. In Europe, spot LNG prices were five times their five-year average, in spite of a mild winter. The IEA also noted that Russia has been Europe’s largest natural gas supplier, meeting 33% of the region’s demand in 2021, up from 25% in 2009. The IEA forecast that natural gas consumption in Europe will fall by close to 6%. In Asia, however, natural gas consumption is expected to grow by 3% in 2022, and the Americas, Africa and the Middle East are expected to be affected less directly by gas market volatility, as they principally rely on domestic gas production.

Over the Week 16, the average correlation of MABUX MBP Index (market bunker prices) vs MABUX DBP Index (MABUX digital bunker benchmark) did not change significantly: all major bunker fuels are in the zone of significant overpricing in all selected ports. Thus, 380 HSFO fuel’s overcharge margins at the end of the week were registered as: in Rotterdam – plus $ 33 (plus $ 69 last week), in Singapore – plus $ 107 (plus $ 98), in Fujairah – plus $ 97 (plus $ 91) and in Houston – plus $92 (plus $89). In the 380 HSFO segment, MABUX MBP/DBP Index did not have any firm trend and changed irregular.

VLSFO fuel grade, according to MABUX MBP/DBP Index, was also overpriced in all selected ports: plus $82 (plus $119) in Rotterdam, plus $44 (plus $71) in Singapore, plus $47 (plus $86) in Fujairah and plus $102 (plus $127) in Houston. Overcharge ratio in the VLSFO segment declined slightly.

As for MGO LS, the MABUX MBP/DBP Index also registered an overpricing of this type of fuel over the week in all four selected ports: Rotterdam – plus $84 (plus $80 a week earlier), Singapore – plus $37 (minus $30), Fujairah – plus $101 (plus $112) and Houston – plus $119 (plus $146). Here, MABUX MBP/DBP Index also did not have a firm dynamics and changed irregular.

Bunker Weekly OutlookWe do not expect any drastic changes in the global bunker market’s trends until the conflict in Ukraine is resolved. Sharp multidirectional changes in bunker prices will continue.

Source: www.mabux.com

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Reduced role for major alliances on Asia to North America trade https://globalmaritimehub.com/reduced-role-for-major-alliances-on-asia-to-north-america-trade.html https://globalmaritimehub.com/reduced-role-for-major-alliances-on-asia-to-north-america-trade.html#respond Thu, 21 Apr 2022 14:49:07 +0000 https://globalmaritimehub.com/?p=9697 On April 1, Alphaliner counted 702 container ships deployed between Asia and North America. This armada represents a total capacity of 5.75 Mteu, which is an increase of 24% compared to April last year. Two trends can clearly be identified on this trade over the last twelve months: carriers have shifted more ships to US […]

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On April 1, Alphaliner counted 702 container ships deployed between Asia and North America. This armada represents a total capacity of 5.75 Mteu, which is an increase of 24% compared to April last year.

Two trends can clearly be identified on this trade over the last twelve months: carriers have shifted more ships to US East Coast services, and the joint market share of the three major alliances has dropped from 82.2% to 67.7%.

The total capacity of all #ships deployed on Asia – US East Coast services has increased by 28.1% year-on-year, which compares to 20.5% growth for the fleet trading between Asia and the West Coast of North America.

Evergreen, CMA CGM, COSCO, ZIM, Maersk & MSC collectively grew their Asia-USEC capacity by 20% to 44%. ONE & Yang Ming are the only carriers operating less capacity on this trade due to a #tonnage reshuffle within THE Alliance which increased its overall capacity by 15.7%.

Source: Alphaliner

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MABUX: Bunker Weekly Outlook, Week 14, 2022 https://globalmaritimehub.com/mabux-bunker-weekly-outlook-week-14-2022.html https://globalmaritimehub.com/mabux-bunker-weekly-outlook-week-14-2022.html#respond Thu, 07 Apr 2022 11:23:46 +0000 https://globalmaritimehub.com/?p=9676 There is still no firm trend in the global bunker market amid the ongoing military conflict in Ukraine. Over the Week 14, the MABUX Bunker Index showed slight irregular changes. The 380 HSFO index fell by 9.15 USD: from 726.25 USD/MT to 717.10 USD/MT. The VLSFO index rose by 1.46 USD: from 943.06 USD/MT to […]

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There is still no firm trend in the global bunker market amid the ongoing military conflict in Ukraine. Over the Week 14, the MABUX Bunker Index showed slight irregular changes. The 380 HSFO index fell by 9.15 USD: from 726.25 USD/MT to 717.10 USD/MT. The VLSFO index rose by 1.46 USD: from 943.06 USD/MT to 944.52 USD/MT. The MGO index added a symbolic 0.11 USD (from 1158.58 USD/MT to 1158.69 USD/MT)..

Bunker Weekly Outlook

The Global Scrubber Spread (SS) weekly average – the difference between 380 HSFO and VLSFO – remained almost unchanged over the week, showing an increase of $ 0.67 ($ 222.13 vs. $ 221.46 last week). In Rotterdam, the average SS Spread dropped from $209.33 to $207.67 (down $1.66 from last week). However, the most significant decline was recorded in Singapore: minus $29.67 from $209.67 to $180.00. SS Spread in this port continues plunging for the second week in a row, reaching $ 160 on April 06 (versus $ 223 on March 24). More information is available in the Price Differences section of mabux.com.

Bunker Weekly Outlook

Over the Week 14, the average correlation of MABUX MBP Index (market bunker prices) vs MABUX DBP Index (MABUX digital bunker benchmark) showed that the fuel overpricing trend prevailed in the global bunker market amid high volatility. Thus, 380 HSFO fuel remained overvalued in all four selected ports, while overcharge ratio increased significantly: in Rotterdam – plus $ 63 (plus $ 27 last week), in Singapore – plus $ 48 (plus $ 2), in Fujairah – plus $51 (plus $3) and in Houston – plus $68 (no change). The most significant was overprice growth in Fujairah by 48 points.

VLSFO fuel grade, according to the MABUX MBP/DBP Index, also remained overpriced on average in all selected ports: plus $101 (plus $50) in Rotterdam, plus $42 (plus $8) in Singapore, plus $68 (plus $40) in Fujairah and plus $106 (plus $81) in Houston. In all selected ports, there is a firm trend towards a significant rise in the VLSFO’s overprice ratio.

As for MGO LS, MABUX MBP/DBP Index registered an underpricing of this fuel grade only in one out of four ports selected: Singapore – minus $8 (minus $88). All other three ports demonstrated an overcharge: Rotterdam – plus $24 (minus $6), Fujairah – plus $87 (plus $25) and Houston – plus $107 (plus $46). In this fuel segment, there is registered a change in trend and a gradual transition to the overprice zone.

Bunker Weekly Outlook

The Getting to Zero Coalition highlights an increase in the number of projects since its second mapping report last March – up from 106 to 203 – with a focus on ship technologies, fuel production, bunkering and infrastructure. Some key takeaways from this year’s report include more focus on hydrogen-derived fuels, more large vessels targeting ammonia and methanol, an increase in bunkering and infrastructure projects, and the emergence of fuel production in Oceania. The report also highlights an increase in the number of hydrogen – including green hydrogen – and ammonia production projects since 2021 (42 of the fuel production projects are involving so-called “Green Hydrogen” based on electrolysis). Some 114 projects in the report have a connection to Europe. However, the new report also identifies 60 Asian projects, up from 31 in the second edition.

VPS has identified 34 vessels which received high sulphur fuel oil (HSFO) contaminated with chlorinated hydrocarbons from two Singapore suppliers between February and March – over 14 vessels to date have suffered fuel system problems. VPS first issued an alert over the contamination on 11 March, noting that the bunker samples were contaminated with up to 2,000 ppm of chlorinated hydrocarbons. The impact on the affected vessels was a failure of the fuel system to the auxiliary engine resulting in loss of power and propulsion creating a blackout. The fuel system failure arose from seizure of the fuel pumps and plunger and barrel corrosion, caused by the bunker fuel contaminants. VPS warned that the problems ‘appear to be continuing to affect an increasing number of vessels.’

The military conflict in Ukraine and geopolitical tensions remain the main reasons for the high volatility in the global bunker market. We expect sharp irregular fluctuations in bunker prices to continue next week.

Source: www.mabux.com

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MABUX: Bunker Weekly Outlook, Week 13, 2022 https://globalmaritimehub.com/mabux-bunker-weekly-outlook-week-13-2022.html https://globalmaritimehub.com/mabux-bunker-weekly-outlook-week-13-2022.html#respond Mon, 04 Apr 2022 11:10:47 +0000 https://globalmaritimehub.com/?p=9654 The military conflict in Ukraine hinders the formation of a stable sustainable trend in the global bunker market. Over the Week 13, the MABUX Bunker Index showed a slight downward correction. The 380 HSFO index decreased by 6.34 USD: from 724.63 USD/MT to 718.29 USD/MT. The VLSFO index lost 14.69 USD: from 948.76 USD/MT to […]

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The military conflict in Ukraine hinders the formation of a stable sustainable trend in the global bunker market. Over the Week 13, the MABUX Bunker Index showed a slight downward correction. The 380 HSFO index decreased by 6.34 USD: from 724.63 USD/MT to 718.29 USD/MT. The VLSFO index lost 14.69 USD: from 948.76 USD/MT to 934.07 USD/MT. The MGO index lost 11.98 USD (from 1160.86 USD/MT to 1148.88 USD/MT).

The Global Scrubber Spread (SS) weekly average – the difference between 380 HSFO and VLSFO – rose slightly over the week versus the decline a week earlier: plus $5.87 ($221.46 vs. $215.59 last week). In Rotterdam, the average SS Spread dropped from $217.17 to $209.33 (down $7.84 vs. last week). In Singapore, the average SS Spread also dropped $11.00 from $220.67 to $209.67. Minor changes in SS Spread indicate a gradual stabilization of the market situation. More information is available in the Price Differences section in mabux.com.

Over the Week 13, the average correlation of MABUX MBP Index (market bunker prices) vs MABUX DBP Index (MABUX digital bunker benchmark) showed that the fuel overpricing trend prevailed in the global bunker market amid high volatility. Thus, 380 HSFO fuel remained overpriced at all four selected ports, although overprice premiums decreased significantly: in Rotterdam – plus $ 27, in Singapore – plus $ 2, in Fujairah – plus $ 3 and in Houston – plus $ 68. The most significant was a 32-point reduction of 380 HSFO’s overcharge in Houston.

VLSFO fuel grade, according to the MABUX MBP/DBP Index, also remained overpriced on average in all selected ports: plus $50 in Rotterdam, plus $8 in Singapore, plus $40 in Fujairah and plus $81 in Houston. In all selected ports, with the exception of Houston, there is a trend towards a reduction of overpricing margins. The most significant change over the week was the increase of VLSFO’s overprice ratio in the port of Houston by 72 points.

As for MGO LS, the MABUX MBP/DBP Index recorded an overpricing of this fuel grade in two out of four ports selected: Fujairah – plus $ 25 and Houston – plus $ 46. In Rotterdam and Singapore, according to the MABUX MBP/DBP Index, MGO LS fuel was undervalued by $6 and $88 respectively. In the segment of this fuel grade, there is also a steady trend towards a reduction of overprice ratio and a transition to the zone of undervaluation.

The Port of Rotterdam Authority is to begin work on establishing regulations and traffic control to ensure the coordination of increased drone traffic over the port. At present, there is not an official body that has oversight of commercial drone traffic which operates in very low-level airspace, so the Port Authority is setting up a pilot to find out how this can be done and to draw up a set of rules for safe traffic in this airspace. The Port Authority also said it will be issuing a tender for parties that could offer support to such an initiative. The Port Authority also highlights that the first vertiports (areas designed specifically for aircraft landing and taking off vertically) might be tested in Rotterdam in as early as 2024, to be followed two years later by the first commercial flights using flying taxis, albeit with a pilot. Manufacturers are said to be currently developing these drones to carry between two and six passengers.

The military conflict in Ukraine remains a potential uptrend driver for bunker fuel, despite some stabilization of the indices. We expect next week the global bunker market will be dominated by sharp multidirectional changes.

Source: www.mabux.com

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