Overall dry bulk spot chartering activity came under pressure last week, partially due to a small decline in Chinese demand. 13 dry bulk vessels were chartered to haul iron ore to Chinese buyers last week, 1 less than the previous week and 4 less than the trailing four week average. In addition, only 4 vessels were chartered to haul thermal coal to Chinese buyers last week. This was 4 less than the previous week and 6 less than the trailing four week average.

Outside of China, global demand for coal, grain, and mineral cargoes has remained firm which allowed panamax, supramax, and handysize rates to find moderate support last week. In particular, a large amount of vessels were chartered to haul Indonesian thermal coal cargoes and South American grain cargoes. In fact, more than a third of the vessels chartered in the dry bulk spot market last week were chartered to haul either Indonesian coal or South American grain cargoes.

Capesize rates are currently averaging $4,981/day, an increase of $58 (1%) from a week ago. Panamax rates are averaging $9,661/day, an increase of $365 (4%). Supramax rates are averaging $10,226/day, an increase of $549 (6%). Handysize rates are averaging $8,036/day, an increase of $500 (7%). Low dry bulk fleet growth has also been a factor behind the recent rise in dry bulk spot rates.

Approximately 54 dry bulk vessels were delivered in February, well below the 116 dry bulk vessels that were delivered in January. February saw the delivery of 19 handysize vessels, 15 handymax vessels, 16 panamax vessels, and 4 capesize vessels. In comparison, January saw the delivery of 25 handysize vessels, 35 handymax vessels, 41 panamax vessels, and 15 capesize vessels.

Approximately 28 dry bulk vessels were demolished in February, a moderate decline from the 41 dry bulk vessels demolished in January. February saw the demolition of 13 handysize vessels, 6 handymax vessels, 5 panamax vessels, and 4 capesize vessels. In comparison, January saw the demolition of 15 handysize vessels, 9 handymax vessels, 7 panamax vessels, and 10 capesize vessels.

Source from CNSS