Daily Briefing September 3 2020
Free to read: Tanker rally muted as stocks curb crude seaborne shipments | ‘We are calling for help’ to end migrant rescue impasse, says Maersk Tankers executive | Green dreamers discouraged from seeking accelerator backing
Good morning. Here’s our quick view of everything you need to know today.
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What to watch | Analysis | Opinion | Markets | In other news
What to watch
There are signs of a muted fourth-quarter rally for crude tanker markets, even as oil demand recovers, with refineries estimated to draw down above-average global inventories to meet supply shortfalls.
Maersk Tankers has issued a plea calling on “responsible governments” to provide urgent humanitarian assistance and provide safe disembarkation for 27 migrants rescued in the Mediterranean by one of its vessels four weeks ago.
Analysis
Given the exceptional circumstances of the pandemic, it is unsurprising that GDP growth forecasts for 2020 vary widely. It is generally accepted though that there was a greater negative impact on economic activity in the opening half of the year than was initially predicted, while the world’s recovery will be more gradual.
Weekly Briefing: China remains the dominant player in the containers market, new port rankings from Lloyd’s List show, while the crude tanker fleet will see accelerated annual growth over the next five years.
Opinion
There has never been a better time for maritime businesses wanting to attract attention from entrepreneurs, writes Richard Clayton.
When container shipping was highly fragmented, establishing a loyal customer base through a quality container line with a recognisable brand made sense, but these days economies of scale are paramount, and that invariably means folding smaller, regional subsidiaries into one into one big carrier with global reach, writes Janet Porter.
Markets
Grain trades are buoying panamaxes and supramaxes, thereby injecting life into an otherwise dull dry bulk market.
Container lines are already beginning to prepare for a tailing-off of demand following the current peak season boom as they seek to continue reaping the benefits of the capacity management that has served them well this year.
Rising spot rates on key headhaul and backhaul trades due to pandemic-driven capacity management could lead to higher contract rates for shippers, according to analysts at Drewry.
In other news
Food trading giant Cargill has invested in Maersk Tankers’ digital spin-off ZeroNorth, in a deal to increase the number of ships using its speed optimisation software to boost earnings and cut CO2 emissions.
The death toll following the collision of a tug and a barge off Mauritius earlier in the week has risen to three. Of the eight crew members on board the tug Sir Gaetan, four have been rescued and are in hospital, a government spokesman told Lloyd's List. One is still missing.
A search is under way for a livestock carrier reported missing with 43 crew members in a typhoon off the coast of Japan.