- LNG spot rates declined across all major routes, with the steepest drop on the US Gulf–Japan corridor.
- Time charter levels also moved lower, underscoring weaker near-term demand.
- LPG markets softened further as limited arbitrage and steady vessel supply weighed on activity.
- Key Middle East and US Gulf routes posted reduced earnings, reflecting subdued sentiment.
The LNG and LPG shipping markets experienced another week of declining rates, as soft demand and ample vessel supply weighed on performance across major routes. Spot activity remained limited and charterers maintained the upper hand, reinforcing a cautious outlook, as published by the Baltic Exchange.
LNG and LPG Market Trends
In the LNG sector, freight rates slipped across all key benchmarks, with the Australia–Japan route seeing 174k cbm vessels drop to $25,400 per day and 160k cbm ships down to $14,200 per day, reflecting weaker Pacific fixtures. The US Gulf–Continent route also fell, with larger vessels at $21,800 per day and smaller ones at $11,400. The sharpest decline came on the US Gulf–Japan route, where 174k cbm earnings dropped by $5,200 to $25,400 per day. Time charter levels followed the spot market, with six-month, one-year, and three-year terms all trending lower.
The LPG market also softened, driven by muted arbitrage opportunities and steady vessel supply. On the Middle East’s Ras Tanura–Chiba route, rates fell to $72.33 per metric tonne, bringing TCE returns down to $58,705 per day. The Houston–Flushing route eased to $82.00 per metric tonne, while the Houston–Chiba route slipped to $149.50 per metric tonne, reflecting subdued long-haul activity. Across both sectors, weaker sentiment and comfortable tonnage lists continued to pressure earnings.
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Source: Baltic Exchange
