• 2019 February 9 14:25

    Trade war cease-fire is good news for the dry bulk sector, BIMCO says

    The USDA reported that in the first four weeks of 2019 754,609 tonnes of soya beans were ready to be shipped in China, up from only 25,347 tonnes in December, BIMCO said in its recent press release.

    In addition to the ready shipments, on 5 and 6 February, the USDA reported sales totalling 3.2 million tonnes of soya beans to China, the majority of which is to be delivered between now and 1 September 2019, the start of the next marketing year.

    At the beginning of December 2018, the US and China agreed to delay planned tariff hikes to allow for a period of negotiation with the aim of ending the trade war. As part of this China allegedly promised to resume its purchases of US soya beans, and during the latest round of talks, China offered to buy 5 million tonnes.

    “Political promises are beginning to materialise in a trade that has faced huge uncertainty since the start of the trade war. This is good news for the struggling dry bulk market as it generates a much-needed increase in tonne-mile demand.

    The ongoing negotiations between the US and China are now approaching the 2 March deadline at which point either some tariffs will rise, the ceasefire will be prolonged, or tariffs will be removed. Only the last option would allow US soya beans to be able to compete with the Brazilian soya beans expected to arrive in the market in a few weeks,” says Peter Sand, BIMCO’s Chief Shipping Analyst.

    “In a politically unstable environment, uncertainty for the future of this trade remains high and US farmers therefore face difficult decisions as to what to plant for next season,” he says.

    Chinese imports of US soya beans had all but ground to a halt in Q4 2018 following the implementation of 25% tariffs on soya bean imports from the US in July 2018. The US exported 98.2% fewer soya beans to China in the first seventeen weeks of the 2018/2019 marketing season, which started on 1 September 2018, compared to the same period of the last season.

    Normal seasonality disrupted by trade tensions
    As of 31 January 2019, the USDA reported inspections of 21.5 million tonnes of soya beans for export in the 2018/19 marketing year, down from 34.7 million tonnes in the same period of the last marketing year. This represents a loss of 13.3 million tonnes, or 177 Panamax loads (75,000 tonnes), and shows how important the Chinese market is for US soya bean exporters.

    Total Chinese imports of soya beans in 2018 were down 7.9% from 2017. Reduced soy meal content in pig feed and using previously built up stocks, as well as increasing imports from other countries, allowed China to avoid US soya beans and the 25% tariffs.

    Brazil is the largest exporter of soya beans to China and in 2018 met much of the extra Chinese demand for non-US soya beans. Its total exports to China were 28.4% higher than those in 2017. Much of this came from an increase in exports in Q4 2018. The last three months of the year are usually peak time for US soya bean exports, with lower exports from Brazil as its exporting season runs from February to August. In Q4 2018 Brazil exported 13.9 million tonnes of soya beans to China, over two times as much as the 6.1 million tonnes in Q4 2017.

    “We expect to see soya beans from Brazil on the market earlier than usual this year, beginning in the second half of February. These soya beans will compete with those from the US, with sellers likely to continue exporting through their off-season,” Peter Sand says.




2019 July 17

16:21 Krasnoye Sormovo delivers the Aleksandr Zuyev, dry cargo carrier of Project RSD59, to STLC
16:03 Safe Bulkers, Inc. announces installation and commissioning of the first scrubber on MV Martine
15:44 Germany accedes to ship recycling convention
15:27 South Africa accedes to compensation regime for hazardous and noxious cargoes
15:02 BHP to introduce low emissions LNG freight
14:02 CMA CGM announces FAK rates from ISC to North Europe and the Mediterranean
13:32 McDermott awarded FEED contract for Sohar LNG bunkering project in Oman
13:15 Pilbara Ports Authority delivers a total annual throughput of 697.2 million tonnes for the 2018/19 financial year
12:39 Exports of Russian oil products from Kambarka oil tank farm resumed by river route via RPK-Vysotsk-LUKOIL-II
12:01 Aker Solutions announces Second-Quarter and Half-Year results 2019
11:51 New edition of Rules for Classification and Construction of Ships Carrying Liquefied Gases in Bulk published by RS
11:44 Port of Oakland’s keystone project set to be delivered in 2020
11:26 NIBULON shipyard continues forming the hull of its 140-m NIBULON MAX floating crane
11:02 The President of the European Council visits the new Port of Baku
10:40 Gasum Group reports its financial results for Q2 2019
10:30 MABUX: Bunker market this morning, July 17
10:17 AS Tallinna Sadam reports its 2019 Q2 passenger and cargo flows
09:54 Bunker prices increase at the port of Saint-Petersburg, Russia (graph)
09:35 Brent Crude futures price is up 0.25% to $64.51, Light Sweet Crude – up 0.03% to $57.64
09:19 Baltic Dry Index is up to 2,011 points

2019 July 16

18:06 CMA CGM announces FAK rates from Asia to North Africa
17:49 Marine Recruiting Agency to recruit personnel for Petrolesport
17:36 Hapag-Lloyd adds vessel to its North America Westcoast / Oceania Service
17:24 Turnover of DeloPorts’ terminals in 1H’19 decreased by 25% YoY to 3.2 mln tonnes
17:06 Odfjell SE sells its ownership share of terminal in Jiangyin, China
16:30 Keppel secures contract from Yinson for the modification of FPSO
16:01 More than 100,000 containers shipped via Intercity Barge at the Port of Rotterdam
15:56 Van Oord orders third trailing suction hopper dredger from Keppel
15:35 Rostransnadzor launches pilot project on remote monitoring of water transport companies’ compliance with mandatory requirements
15:10 Hapag-Lloyd announces rate restoration from East Asia to North Europe and Mediterranean
14:51 Bunker market sees mixed price movements at the Far East ports of Russia (graph)
14:29 Baltic Transport Forum - development momentum for the region
14:10 Hapag-Lloyd launches new Africa service
13:46 Sea Port of Saint-Petersburg puts into operation new ecological equipment
13:25 Leading Port Planning & Development World Summit comes to Brussels, Belgium this October
13:01 CMA CGM announces GRR from Asia to West Africa
12:37 Naval Group launches first in Barracuda-class series of six nuclear submarines
12:10 Port of Oakland exports up 4.2 percent in June 2019
11:26 Nefteflot CJSC lays down third 4,800DWT barge of Project RDB12 ordered by STLC
11:01 CMA CGM announces FAK rates from Asia to North Europe
10:40 Scope of repair dredging performed by FSUE Rosmorport in 2019 to total about 10 million cbm
10:17 Investment dues collected in Russia’s seaports in 2019-20 to be used for four projects
10:14 MABUX: Bunker market this morning, July 16
10:14 Wärtsilä chosen for another environmentally sustainable hopper dredger from Damen Shipyards
09:54 Icebreaking and Support Fleet conference to be held in Saint-Petersburg on September 16 as part of NEVA-2019 exhibition’s zero day
09:35 Brent Crude futures price is up 0.06% to $66.52, Light Sweet Crude – down 0.05% to $59.55
09:18 Baltic Dry Index is up to 1,928 points

2019 July 15

17:58 IAPH welcomes new Associate Member from Switzerland
17:33 NIBULON transported 3.5 million tonnes of cargoes by water transport
17:06 Hapag-Lloyd to introduce new Middle East-India-Africa Express Service
16:07 Desktop Just-In-Time trial yields positive results in cutting emissions
15:44 Prevention of marine pollution in South Asia discussed at regional workshop
15:15 Cargotec’s MacGregor receives clearance from the Chinese competition regulator for the acquisition of the marine and offshore businesses of TTS Group
14:56 Murmansk Sea Fishing Port handled 116,000 tonnes of cargo in 6M’2019, down 35.5% Y-o-Y
14:39 RS issues revised Rules for Classification and Construction of ships carrying liquefied gas
14:15 SEACOR Marine announces departure of Chief Operating Officer
13:53 Sever Bay Port terminal on Taimyr included into RF area planning scheme
13:32 MAN Energy Solutions, DSME and HSD Engine sign strategic agreement on engine digitization
13:01 CargoSmart announces GSBN Service Agreements with CMA CGM, COSCO SHIPPING LINES, COSCO SHIPPING Ports, Hapag-Lloyd, Hutchison Ports, OOCL, Port of Qingdao, PSA International and Shanghai International Port Group
12:48 Average wholesale prices for М-100 HFO up to RUB 16,149 in RF spot market