Stronger fundamentals supports outlook

After declining from record highs seen in 2023 and early 2024, PCTC spot rates appear to have stabilized around the USD 50,000/day level. While down from peak levels, this still represents highly profitable territory for owners. The rate stabilization, combined with improving trade dynamics, suggests growing market confidence and healthier fundamentals heading into mid-year.

Record Chinese export volumes drive demand
On the demand side, China’s seaborne vehicle exports hit a new monthly record in April, rising over 14% year-over-year to approximately 566,000 units. Exports to Europe were particularly strong – up by nearly 9% – driven by growing demand for hybrid vehicles. Most major regions posted year-over-year growth, with the exception of Russia, where exports fell by around 36%.

The continued strength in Asian vehicle exports – especially to Europe and Latin America – supports sustained demand for global car carrier capacity, adding further support to the current rate environment.