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Home Shipping Trends

Newbuild demand: weakness continues

Editor by Editor
2 years ago
min read1 min
shipbuilding
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Although we see orders coming up on a month-on-month basis, it was another week of weak interest mainly due to the global uncertainty that prevailed in 2020 which has retained transactions at low levels; a trend expected to remain, as we are moving closer to the year’s end.

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Only 81-97 vessels are expected to come into the market next year which will maintain the global bulk carrier fleet in similar levels. Considering the intensity of demolition activity seen this year, we might be looking at a mild global supply shortage in terms of tonnage for the next year, potentially further boosting 2021 rates.

The Shikoku shipbuilder reported only one order in Japan the past week, for two Handymax vessels that will be delivered in 2022 to an undisclosed buyer. Compared to the prior week, the prices for new vessels persisted at the same levels. In contrast to last year, prices have considerably dropped as so has the volume of orders.

Source: D&F Shipping Market Analysis

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Tweets by "Dnfsmanalysis"
Tags: DF Shipping AnalysisHandymax
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