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Splash Extra’s prescient cover story last month was on how secondhand prices were soaring. In April they rocketed. Based on the first 16 weeks of the year, if the extraordinary volume of ships being bought and sold so far this year continues, it could see more than 7% of the deadweight fleet change hands in 2021, the highest level seen since 2007, research from Clarkson Research Services suggests. The secondhand sales surge first became evident in the final quarter last year. It ramped up this year with a record 590 ships – or 40m dwt – sold in Q1, according to Clarksons, and sales remain very firm throughout April. More than 7% of the deadweight fleet could change hands in 2021, the highest level seen since 2007 Bulker sales reached a record 19m dwt in Q1 while boxship sales also surged with a record 122 ships of 0.4m teu sold, with charter owners accounting for 90% of capacity sold. Moreover, despite pressure on tanker market conditions, Q4 2020 and Q1 2021 have represented the two strongest ever quarters for tanker sales. Overall, October to to March saw 50% more capacity sold than the previous most active six month period tracked by Clarksons. With the number of ships sold accelerating, prices have also headed north. Clarksons’ overall secondhand price index had risen by 33% since September last year to a seven-year high as of April 16. Price levels continue to surge across all sectors with the average price of a five-year old capesize up 17% since the start of the year and a 10-year old handysize up 50% from January, according to Alibra Shipping. The last month has still been dominated by news of Japanese bulk sales. There were 10+ bidders on Nissen Kaiun’s capesize, setting a price of $30m for a 10-year old unit. The same owner also invited offers on the 2014-built kamsarmax this week with offers in the mid-$24m range. Both of these sales have set new benchmarks. Also of note, Misuga Kaiun invited offers on the 2013-built supramax. This would have been a $16m ship a fortnight ago, and yet Misuga Kaiun saw highest first round offers of $17.5m. According to VesselsValue, a 10-year old supramax value has increased from $14.94m to $16.92m throughout April. Some notable dry bulk transactions this month included the sale of the 14-year old to Chinese buyers for $20.75m, while the 11-year old 93,400 dwt post-panamax was sold for $15m. Since last week Alibra has seen an uptick in tanker sales in particular for LR2 and aframaxes amid growing sentiment that tanker demand will return in the second half of 2021. VesselsValue data shows that despite poor current freight rates, the price for a 10-year old suezmaxes and aframaxes have increased by 5% and 10% this month, respectively. Key tanker transactions this month include the 17-year old VLCCs, and , sold en bloc to Chinese interests for a very firm $57m, while ADNOC Logistics and Services paid $309m for six new Maersk LR2 tankers. Container tonnage appreciated massively throughout April in line with sensational freight and charter rates. Average secondhand boxship prices have leapt 15% this month. Notable sales include the 9,288 teu pair Adonis and CMA CGM Magdelena sold to MSC for $98m each, while Oman Shipping shelled out $34m for the 13-year old, 4,250 teu .

Rallying across the board

Each week of 2021 is setting new benchmarks for secondhand prices.

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