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 Reporter October 2014 Digital Edition
FREE Maritime Reporter Subscription
Latest Maritime News    rss feeds

Bulk Carrier Trends

Ice to Close Upper Mississippi from Nov. 20

The shipping season on the upper Mississippi River will end on Thursday as ice surrounding locks and dams near Minnesota's Twin Cities forced the earliest winter

Mombasa's 2014 Port Cargo to Soar 14 pct

East Africa's biggest port, Mombasa, expects to handle at least 14 percent more cargo this year, helped by its expanded capacity and a marketing drive, its management said on Thursday.

Great Lakes Coal Up 9% in October

Shipments from Lake Erie nearly double that of a year ago Coal shipments on the Great Lakes topped 3 million tons in October, an increase of 9 percent compared to a year ago,

Energy

Gazprom Transgaz Ufa Organizes Arts Festival

Over 200 healthy children and children with disabilities from Bashkortostan as well as the Volga Region participated in the Breaking the Barriers second interregional children’s arts festival,

Time-out for Kwanza Drilling

Statoil has decided to cancel the Stena Carron rig contract after fulfilling the work commitments in the Statoil-operated blocks 38 and 39 in the Kwanza basin offshore Angola.

President Pryor Retires from ExxonMobil Chemicals

Stephen D. Pryor, president, ExxonMobil Chemical Company and vice president of Exxon Mobil Corporation, has elected to retire on January 1, 2015, after more than 44 years of service.

News

7 Rescued from Sinking Freighter Near Haiti

Seven crewmembers were rescued after their 100-foot coastal freighter began taking on water and sank approximately 45 miles north off of Cap Haitien, Haiti, Friday.

Gazprom Transgaz Ufa Organizes Arts Festival

Over 200 healthy children and children with disabilities from Bashkortostan as well as the Volga Region participated in the Breaking the Barriers second interregional children’s arts festival,

Time-out for Kwanza Drilling

Statoil has decided to cancel the Stena Carron rig contract after fulfilling the work commitments in the Statoil-operated blocks 38 and 39 in the Kwanza basin offshore Angola.

 
 
Maritime Security Maritime Standards Navigation Offshore Oil Pod Propulsion Ship Electronics Ship Repair Ship Simulators Sonar Winch
rss | archive | history | articles | privacy | terms and conditions | 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: 0.1026 sec (10 req/sec)