Dry CargoGreater China

Why you’d have to be mad to order a new bulker today

Average index rates for smaller bulkers enjoyed their highest rates in the third quarter since 2011, according to the head of Hong Kong’s largest shipping line, Pacific Basin. However, that is no reason to rush out and buy a new ship.

Speaking at the Maritime CEO Forum, held in Hong Kong earlier this month, Mats Berglund told the exclusive shipowner gathering that it was now vital he and his peers held off from ordering new ships, and not just because of the risk of overcapacity.

“Who on Earth would order a new ship today that has an engine designed to burn heavy fuel oil and put a scrubber onboard it,” said Berglund, one of shipping’s most vocal opponents to scrubbers.

To watch Berglund’s take on the dry bulk markets check out the video below.

The Maritime CEO Forum in Hong Kong was sponsored by Anglo-Eastern, Cobham, Compas, Dualog, DVB, Liberian Registry, Marlink and Transas. The next edition of the forum will be in Singapore in April 2019.

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