Greater China

Chinese firms have been quiet on the VLCC newbuild front: Gibson

London: Despite much talk of giant VLCC buildup by Chinese state owned entities there has been little ordering from Chinese shipping companies, which may well help to boost VLCC rates, according to a recent report from brokers Gibson. In total, 31 VLCCs have been ordered this year and the vast majority are to well-known players. Of the 31, just one vessel can be attributed to Chinese interests.

“With just 6% of the current VLCC fleet over 15 years of age, it appears that there is limited scope for some fleet replacement with modern eco units being the order of the day. This year we have around 28 scheduled VLCCs deliveries which then drop to 8 in 2015 before picking up in 2016 to 48. Provided the Chinese keep their hands in their pockets this would seem to be a containable level of replacement in this sector which may not be so true in others,” Gibson reported.  [22/09/14]

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