Cautious is the watchword to sum up the sale and purchase scene in February. With the US contemplating taxing Chinese-built tonnage, there is a clear sentiment to pick out Japanese-built ships all of a sudden.
“As the Trump 2.0 reality show unfolds, as it does daily, often with singular market-moving tweets, we might as well suspend trying to make credible forecasts of future supply-demand balance across shipping sectors. Underwhelming spot earnings render shipping sentiment downbeat while we seek greater clarity on today’s geopolitical, trade and social threats,” noted a recent report from broker Hartland Shipping.
On dry bulk, Hartland noted in its most recent weekly report: “The freight market is beginning to defrost, and this is encouraging a bit more positivity in the secondhand market. It is premature to talk of a recovery in values, but to some extent the dive is starting to flatten out.”
CHS International Ship Management has moved into the cape segment, adding its biggest bulker to date, joining a string of other Chinese owners in seeking out capesize tonnage.
CHS has emerged as the taker of a ship sold at the end of the year, paying a premium for the 12-year-old, 182,000 dwt Sasebo-built bulker,
K Confidence, now named Princess Kelly. The deal stands out as it is middle-aged tonnage, younger than the average cape being sold into China. The media-shy outfit has taken industry watchers by surprise, paying just under $34m for a ship sold by Korean outfit SK Shipping. CHS owns and manages a handful of medium-sized bulk carriers in the same age group.
Kamsarmax prices are holding up well. For instance, the 2008-built, 82,612 dwt
Ellina has just been sold for a respectable $12.75m – in line with the same age Betty’s Dream that sold at the end of last year at $12.9m.
“This fits with a general trend that indicates there is currently plenty of competition for good quality kamsarmax tonnage,” Hartland noted, adding: “Post-panamaxes however are now at a significant discount to the kamsarmaxes, as is usual in a depressed freight environment.”
In tankers, prices are up for vintage VLCCs as brokers predict higher rates for ships trading outside the dark fleet.
Prices for vintage VLCCs went down in January. Now, VLCC pricing is firming again for reputable sales candidates, and a whopping $10m spread can be spotted in the latest sales filling up broking reports.
Greek owner Eastmed has reportedly sold the rusty 20-year-old, 309,000 dwt
Great Lady for $41m, a 335 m long mammoth built at Samsung in South Korea.
At the beginning of the year, Viet My Petrol Transportation sold an almost identical Hyundai Heavy-built ship. The 20-year-old 308,800 dwt, Rolin, went for just $31m. It’s worth noting that the Vietnamese ship has its special survey and drydocking due.
Meanwhile, reports are emerging that the non-scrubbered 2004-built
Princess Alexia VLCC has secured a robust $38m from Chinese buyers, underling what brokers describe as a premium that buyers are willing to pay for tonnage of reputable propriety for lucrative compliant trading.
Secondhand tanker pricing has eased over recent months, with Clarksons’ secondhand tanker price index now down 3% since the start of the year and 17% since its recent peak in early September last year.
Earlier this month, Greek owner Enesel sold a pair of scrubber-fitted, Shanghai Waigaoqiao-built vessels, named
Kavafis and
Elytis. The vessels, built in 2023 and 2024, fetched $142m en bloc, sold to unspecified compatriot owners according to Clarksons, price levels that are comparable to those recorded in late 2022.
Finally, turning to containers, Braemar noted in its latest weekly report: “The secondhand market remains active, with demand continuing to outpace supply.”
CMA CGM has been one of the most busy buyers of secondhand boxships this month. The French liner moved to take four 2010-built, 3,700 teu container vessels – CMA CGM Africa One, CMA CGM Africa Two, CMA CGM Africa Three, and CMA CGM Africa Four – that it has had on a long-term charter from Greece’s Chartworld in a deal worth $160m.
CMA CGM also purchased four 2016-2017-built ice-class wide beam container vessels from Delphis, the container shipping arm of Antwerp-based Compagnie Maritime Belge (CMB). Broker Braemar puts an en bloc price of $120m for the quartet which are the 1,924 teu sister vessels Delphis Bothnia, Delphis Finland, Delphis Gdansk, and Delphis Riga.
CMA CGM has also bought the 2,202 teu
Cape Monterey for $35m from Greek tonnage provider Cape Shipping.
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