Overcapacity, weak ‘trading demand’ and weak OPEC output have depressed the conditions that usually boost long hauls in the tanker shipping market, according to BIMCO.
As illustrated by the very weak rates for oil product transports during most parts of 2017, the hardship extended losses into 2018.
For VLCC spot earnings, 2017 was the worst year since 1994. However, the fact that China boost in demand with an increase in its volume imports by 10% in 2017, was not enough for the overall market to improve.
