Chinese Coal Imports Remain in the Foreground

Marinelink.com
Wednesday, June 19, 2013

There was marginal improvement in the dry bulk market as improvement in demand for larger vessel segments was countered by a decline in demand for the smaller ones. According to the latest Dry Bulk Insight, the Drewry Hire Index remained at 217 points.


The Chinese coal market remained in the news, with the policy of China’s National Energy Administration still unclear as regards a potential ban on low-quality coal imports. There have been several protests from big power companies against the proposal, following which the minimum limit on imports could be reduced from 4,500 Kcal/kg to 3,750 Kcal/kg. This ban will have a direct impact on Indonesia, which supplies almost 50-70 million tonnes of lower-calorific-value coal to China.


However, Australia and South Africa are likely to benefit as they supply higher-grade coal. To a certain extent, this ban will support the dry bulk market by generating more tonne-miles (if China imports from Australia and South Africa), but this depends on China maintaining a certain level of imports rather than turning to domestic supplies.


Domestically, the ban will increase production costs for power plants as they will be required to bring about changes in their machinery (such as boilers) to use different grades of coal.


Looking ahead, with better weather projections and expected higher yields of crops, the smaller vessel segments are likely to enjoy better returns. Grain trade has already improved in the past month and will continue to do so. Meanwhile for the larger vessel segments, a lot depends on the demand scenario.

 

Maritime Today


The Maritime Industry's original and most viewed E-News Service

Maritime Reporter July 2016 Digital Edition
FREE Maritime Reporter Subscription
Latest Maritime News    rss feeds

Bulk Carrier Trends

How to Avoid Claims for Self-cooking Cargo

North P&I Club has advised its members to be extra vigilant during loading and transport of soya beans to ensure they do not get blamed for cargoes that start ‘cooking’ at sea.

Baltic Index Falls on Weak Freight Rates

The Baltic Exchange's main sea freight index, tracking rates for ships carrying dry bulk commodities, fell on Monday due to weaker rates across all segments, except handysizes.

Los Angeles Pushes for Valero Terminal Improvements

The Port of Los Angeles has released an Initial Study/Notice of Preparation (IS/NOP) — the first step in the Environmental Impact Report (EIR) process — for a Marine

Energy

Los Angeles Pushes for Valero Terminal Improvements

The Port of Los Angeles has released an Initial Study/Notice of Preparation (IS/NOP) — the first step in the Environmental Impact Report (EIR) process — for a Marine

Canada Seek to contain Oil Spill

Authorities are building a new containment boom to fight an oil spill in a major western Canadian river, officials said on Saturday, after the spill breached a

Ecuador Pays $112 mln Award to Chevron

Ecuador has paid $112 million to energy company Chevron Corp over a four-decade-old contract dispute, even though it remains in disagreement, the head of the central bank has said.

News

Boeing 767 Shipped by Barge

MTS Statum completes marine towage of barge carrying Boeing 767 from Shannon Airport   Marine service provider Marine and Towage Services Group Ltd. (MTS) has

New Ferry MV Woods Hole Delivered

The newly built ferry M/V Woods Hole has been delivered to serve Woods Hole, Martha’s Vineyard and Nantucket.   Built by Conrad Industries of Morgan City, La.

New Details Emerge on Loss of USS Indianapolis

A Naval History and Heritage Command (NHHC) historian has recently uncovered information that sheds new light on the loss of the World War II cruiser USS Indianapolis (CA 35).

 
 
Maritime Careers / Shipboard Positions Maritime Security Naval Architecture Navigation Pipelines Salvage Ship Electronics Ship Repair Sonar Winch
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: 0.0822 sec (12 req/sec)