World trade is expected to grow by a modest 4.7% in 2014 and at a slightly faster rate of 5.3% in 2015 WTO economists said today (14 April 2014). Although the 2014 forecast of 4.7% is more than double the 2.1% increase of last year, it remains
below the 20-year average of 5.3%. For the past two years, growth has averaged only 2.2%.
The sluggish pace of trade growth in 2013
Since the outbreak of the 2008-crisis, the shipping industry, in most of its aspects, i.e. dry bulk and tanker markets alike, has been dealing with volatility in its extreme. Freight markets seem to "overreact" to even minor factors, in terms of demand or supply, thus making life a lot more difficult for ship owners. As a result, any move towards bolstering the mild landing of the Chinese
In the 2000s new ships were the in thing. Public companies boasted about their youthful fleets and since ships were floating cash machines, who could argue? Why buy old ships that might break down during a boom, costing cash instead of coining it? But today youth weighs heavily on balance sheets and suddenly older ships look interesting.
Good and Old:
In order to avoid risks of disputes as well as missing time bars, Owners should seek to have charterparty and bill of lading clauses expressly choose one set of general average rules to the express exclusion of the other.
Background: General average
General Average (GA) is an ancient concept of maritime
Dirty tanker freight rates continued to decline, with the drop in dirty spot freight rates mainly affecting the VLCC class in March, while Suezmax and Aframax closed the month flat, as per the latest OPEC survey. VLCC spot freight rates on all reported routes were down in March from a month earlier, with the greatest drop registered on destinations from the Middle East to the West,
Governments, maritime employer representatives co-ordinated by the International Shipping Federation (ISF) and their counterparts from the International Transport Workers’ Federation (ITF) met this week at the International Labour Organization in Geneva for the first meeting of the Special Tripartite Committee (STC) established under the Maritime Labour Convention, 2006
The recent case of Astipalaia vs Hanjin Shenzhen  EWHC 120 (Admlty) has revisited the existing case law on assessment of damages following a collision and provided further clarification as to the appropriate test to be applied. On 26 March 2008 there was a collision between the fully laden VLCC tanker Astipalaia and the container ship Hanjin Shenzhen in the approaches
The winter season highs are a thing of the past for the tanker market, as owners need to concentrate their efforts into a less eventful and definitely less exciting second quarter of the year. In its latest short term outlook for the tanker market, for the period of April/May, BIMCO expects earnings for the all the crude oil tanker segment to stay above USD 10,000 per day. VLCC may
Drewry’s latest Container Equipment Insight, exclusive to subscribers of Drewry’s Container Leasing and Container Census reports, saw prices for new dry freight containers increase in the opening months of 2014 for the first time in two years. Standard box prices declined gradually throughout 2013, falling by late in the year to their lowest point since 2009, and they have
Global trade patterns have changed dramatically in the last two decades. Emerging markets now account for 42% of world exports, up from 19% in 1990, or 52% excluding intra-EU trade. Asia has firmly established itself as the centre of the “made in the world” vertical global supply chain, with China emerging as a mega-trader. Trade is increasingly “unbundled” with countries no
Despite the recent fall of the Baltic Dry Index (BDI), when one compares the first quarter of 2014, to similar quarters of the recent past, it is apparent that the market is rising, claimed BIMCO in its latest market analysis for the April/May period. For this period, BIMCO believes that the level of Capesize TC average rates will hover around USD 12,000-22,000 per day. Panamax TC
The International Union of Marine Insurance (IUMI) has released its Spring Statistics which found the percentage of total hull losses have fallen to a record low. The figures which are the most comprehensive study into hull, cargo and energy insured losses available reported the frequency of total losses for ships above 500 GT increased marginally in 2012 compared to preceding
DNV GL presents a novel approach that overcomes challenges of assessing on board energy efficiency in a consistent manner. As a result, priorities for improvement can be determined accurately. In a new report released today, DNV GL answers the question: How can a ship manager identify the biggest sources of useful energy that are currently being wasted on their ships?
Ship owners have returned to yards around the world with an equal appetite for dry bulk carriers, tankers and containers, according to the latest shipbroker reports. According to figures compiled by Piraeus-based shipbroker Golden Destiny, over the course of the past week there've been a total of 61 vessels ordered, with an aggregate deadweight of 4,113,700 tons,
Terminal operators in Europe will soon face new pressures from mega-alliances, but have yet to show that their hinterland cargo can be delivered efficiently under the conditions envisaged. The FMC’s recent approval of the P3 alliance suggests that its services will become reality in all three proposed East-West routes by the middle of the year. Whatever shippers think of the
World’s largest (deepsea) Ro/Ro carriers
Dynamar has issued a brand new report of the subject on Deepsea Ro/Ro Shipping. It is a unique publication, focusing on two different types of roll-on/roll-off ships operating in intercontinental waters: Conventional Ro/Ro Vessels, and Vehicle Carriers. Among the many features covered, this publication
The tanker market is still waiting for Iran's crude export cargoes to start flowing in the international scene at levels enough to make a difference, in terms of freight rates. According to the latest weekly report from shipbroker Gibson, "just over two months ago, the sanctions imposed on Iran in 2010 as a result of its nuclear development programme, were temporarily lifted
Few service adjustments were made by ocean carriers between December and March, but major changes lie ahead in 2Q14, and not just from the P3 alliance.
Asian cargo discharged through ports along the East
The Marine Environment Protection Committee (MEPC) of the International Maritime Organization (IMO) met for its 66th session from 31 March to 4 April 2014, at IMO Headquarters in London. The Committee adopted amendments to the MARPOL Convention to set a date for the implementation of “Tier III” standards within emission control areas (ECAs) and to make
China's importance as a consumer of raw materials for the shipping markets, both dry bulk, as well as tanker, is undoubtable. The rise of China's trade over the past decade or so has been instrumental towards altering the landscape for the shipping industry as well. According to a recent report from Poten & Partners, for the most part of the past decade, "China has been