Charter rates for 5,500 teu ships soar

Charter rates for 5,500 teu ships soar

Brokers Lorentzen & Stemoco report that charter rates for boxships in the 5,500 to 7,000 teu range have more than doubled in the past 12 months. The sector has benefitted from the low tonnage availability in the market, a situation exacerbated by a large swathe of ships heading for scrubber retrofits.

“From the beginning of 2019 till today, rates have more than doubled in this segment,” Lorentzen & Stemoco stated in its latest weekly report.

Analysts at Alphaliner were able to add dollar figures to this charter jump. Rates for 5,500 teu ships have leapt from $8,000 to $10,000 a day back in January 2019 to surpass $20,000 over the course of the year.

“The outlook for 2020 remains bullish,” Alphaliner stated in its latest weekly report, adding: “A positive point is the absence of newbuildings in this size range for 2020 delivery and only two orders in the wider 4,000-10,000 teu bracket.”

Sam Chambers

Starting out with the Informa Group in 2000 in Hong Kong, Sam Chambers became editor of Maritime Asia magazine as well as East Asia Editor for the world’s oldest newspaper, Lloyd’s List. In 2005 he pursued a freelance career and wrote for a variety of titles including taking on the role of Asia Editor at Seatrade magazine and China correspondent for Supply Chain Asia. His work has also appeared in The Economist, The New York Times, The Sunday Times and The International Herald Tribune.

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