What will the future bring? Overall demand growth is expected to be lower than in 2017, but still high enough to potentially improve the fundamental market balance.
The fleet is growing at the slowest pace since 1999, and solid growth in demand means that the dry bulk shipping industry should be facing another year of improvement to the fundamental balance.
It has been quite some time since macro-economic development has looked this positive and as supportive of shipping.
The future of oil demand and subsequently of tanker demand is very much policy driven. It has been so in the past to some extent, but in coming years this will be more apparent.
BIMCO’s Chief Shipping Analyst, Peter Sand, will be participating at the 18th edition of Trans Pacific Maritime on 4-7 March 2018 in Long Beach, California.
Chinese seaborne imports of iron ore, coal and crude oil have all grown strongly throughout 2017. Both seaborne imports of crude oil and iron ore have reached the highest levels ever recorded, while coal reached the highest level in three years.
Imports of crude oil and coal have benefitted the shipping industry to the greatest extent as both volumes and distances have increased.