Suezmax segment shows growth during quiet week overall
This week has been relatively quiet across EMF’s key markets – tanker, LPG, and PCTC – with no significant shifts. The tanker market has shown some positive momentum, particularly in the Suezmax segment, which saw a 10% weekly increase.
The Middle East Gulf to Mediterranean route via the Suez Canal recorded the most significant weekly growth at 23%, highlighting strength in the market. Product tankers also experienced a modest uptick in earnings.
VLGC market remains soft – recovery expected by summer
The LPG and PCTC markets remained stable with limited activity. VLGC rates saw a slight increase due to tightening tonnage availability, but overall, the market is expected to remain soft until the second half of 2025, when the US export capacity expands, potentially driving rates higher.
Seasonal trends suggest an uptick in rates approaching summer, and with a slow pace of newbuild deliveries and the 8 mtpa export capacity expansion in the Netherlands set for the second half of the year, we expect 2025 to be average and at healthy levels.
Source: Clarksons and Fearnleys
