- Capesize Prices Rise Up to 10% on Strong Long-Haul Demand.
- Long Shipyard Lead Times Slow Newbuilding Momentum.
- Baltic Dry Index Hits 11-Month High at 2,480 Points.
Lately, the mid-sized bulk carrier market has been experiencing a shift, with earnings starting to align and the traditional value gap between ultramaxes and kamsarmax bulkers shrinking. The freight markets are strong yet unpredictable, and the lengthy shipyard lead times are helping to keep overall bulker values quite healthy, reports Lloyd’s List.
Capesize Values on the Rise Due to Strong Demand
Capesize bulkers have seen impressive value increases this year. Since January, prices have jumped by as much as 10%, depending on the age of the vessel. This rise is a result of steady demand for long-haul commodities, a limited fleet renewal, and a tighter supply of available tonnage.
Stable Earnings Bolster Secondhand Prices
Even with the recent fluctuations in rates, overall stronger earnings have kept secondhand values steady. Additionally, the long delivery schedules at major shipyards are making owners think twice about placing newbuilding orders.
Market Confidence Boosted by BDI Surge
Market sentiment has improved as the Baltic Dry Index soared to 2,480 points on November 27, marking its highest point since December 2023.
“Bulker values have been broadly steady through the fourth quarter with only minor week-to-week moves; the main drivers behind today’s pricing is the freight market’s strength,” said Xclusiv Shipbrokers analyst Dimitris Roumeliotis.
Segment Earnings Remain Strong
Capesize earnings are benefiting from robust iron ore shipments, especially along the Brazil–China route. Meanwhile, supramax and ultramax vessels are enjoying consistent demand from grains, minor bulks, and active intra-Pacific trade, which is helping to keep both earnings and values well-supported.
Kamsarmax and Mid-Sized Geared Vessels See Value Gap Narrow
The values of kamsarmaxes and supramax/ultramax vessels have started to converge as their earnings have become more equal across these categories.
“Convergence in mid-sized sector freight markets has seen similar spot and period earnings for the supramax/ultramax segment and kamsarmaxes,” said Roumeliotis. “As a result, asset values have narrowed, with the traditional premium for one over the other now less pronounced.”
High Newbuild Prices Keep Secondhand Values Steady
With newbuilding prices remaining high and delivery times stretching into 2029, fresh orders are becoming less appealing. According to Roumeliotis, the cost of new builds is also playing a role in maintaining strong values for bulkers that are up to 10 years old.
Recent Bulker Sales Reflect Strong Market
In the latest capesize transactions, we have the 2012-built Fortune Violet (IMO: 9614921), a hefty 181,000 dwt vessel from Imabari, which was sold by Cido Shipping for $34 million, with the handover set for Q2 2026. Japan’s NYK also made waves by selling the 2012-built mini-capesize NBA Rembrandt (IMO: 9644500) for about $19 million.
Moving on to the Kamsarmax segment, the 2013-built Xin Tang Shan Hai 1 (IMO: 9655822) went under the hammer for $15.3 million. In the Panamax category, the 2001-built GNS Harmony (IMO: 9233519) was sold for $6.75 million. Ultramax sales included the 2021-built Great Voyage (IMO: 9909106), which fetched $30.5 million at auction. Lastly, in the handysize sector, Italy’s Fratelli Cosulich sold the 2015-built Saturnia (IMO: 9725380) to Greek owner Pioneer Marine for $18.5 million.
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Source: Lloyd’s List
