Drewry Report Expects Sustained Recovery by End of Year

Tuesday, August 20, 2002
Drewry’s latest “Annual Dry Bulk Market Review and Forecast –2002” explains the reasons behind the expected recovery in 4Q02. Although 2002 is unlikely to see a sustained recovery in freight rates before the last quarter of the year this report predicts that 2003 shows great promise. The projected level of new building deliveries around 14m dwt, shows a decrease compared to 2002 and 2001. Meanwhile the number of vessels heading for the demolition beaches will continue to rise to the 6 m dwt mark by the same year. Trade forecasts are also good with most commodities showing a healthy rise as the global economy picks up and confidence returns to the sector. This is generally led by crude steel production, which is widely expected to pick up by the end of this year, as the U.S. and Japan move back into positive production. It is worth noting that Chinese steel production has been one of the few lights on the dry bulk horizon. 2002 is expected to see further increases, currently over 10 percent forecast, with growth steadying in 2003 to a more sustainable 2 to 3 percent p.a. Freight rates are expected to start rising firmly in 4Q02 and move upwards throughout 2003 and 2004. According to Drewry, “It is clear that the next cycle in the dry bulk market is about to begin, given the depths to which the market has fallen over the last 12 months, we can only hope that this time the peak is sustained for longer. If ship owners show restraint from that momentary thrill of a new vessel then the ever-present threat of over tonnaging might be stalled for a period.”
Maritime Reporter July 2015 Digital Edition
FREE Maritime Reporter Subscription
Latest Maritime News    rss feeds

Contracts

Hapag-Lloyd Adds Halmstad to Rotation

As one of the top global carriers Hapag-Lloyd offers a comprehensive service network and will add port of Halmstad, Sweden to the Nordic Short Sea Network. As

BBC Chartering Opens Vietnam Office

BBC Chartering announces the opening of a new representative office in Ho Chi Minh City, Vietnam, starting August 1st breakbulk, and general cargo transportation

Fratelli Neri Orders Damen Tug

One of the largest Italian tug owners, Fratelli Neri S.p.A, ordered its first Damen tug, an ASD 3212, on 21 July 2015.   The vessel will be the first ASD tug

Bulk Carrier Trends

Shanghai 6th Best Shipping Center Globally

Shanghai has moved up the rankings of the world’s top shipping centers to sixth place, surpassing Dubai thanks to Free Trade Zone regulations and the Belt and Road Initiative,

ClassNK Releases Guidelines for CNG Carriers

Classification society ClassNK has released its Guidelines for Compressed Natural Gas (CNG) Carriers.   Global economic and population growth is bringing about

Asia Dry Bulk-Capesize Rates Could Soften

Capesize market "overheated" as rates near eight-month highs; optimism for a busier fourth quarter looms. Freight rates for capesize bulk carriers are likely

 
 
Maritime Contracts Maritime Security Maritime Standards Offshore Oil Pipelines Port Authority Salvage Ship Electronics Ship Simulators Sonar
rss | archive | history | articles | privacy | contributors | top maritime news | about us | copyright | maritime magazines
maritime security news | shipbuilding news | maritime industry | shipping news | maritime reporting | workboats news | ship design | maritime business

Time taken: 0.1252 sec (8 req/sec)