Both the Atlantic and Pacific basins are showing robust demand and tightening tonnage, which is driving up rates and giving owners the advantage in negotiations.
Capesize
The Capesize market shows varied activity across regions. In the Pacific (C5), rates are trading just above $10 per metric ton (pmt) for late September to early October dates, with active participation from miners and operators. However, other parts of the Pacific are flat. In the Atlantic (C3), demand for cargoes from Brazil and West Africa remains for split and late October dates, with fixtures concluding at mid $23 pmt for split dates. Tonnage is starting to tighten, particularly in the Far East, and a significant portion of available vessels are ballast ships for first-half October dates.
Panamax
The Panamax market is maintaining strong upward momentum across both basins. In the Atlantic, strong mineral demand from the U.S. East Coast (USEC), Colombia, and the Baltic, combined with a tight supply of nearby vessels, is supporting higher rates. The South America East Coast (ECSA) market is also firm, driven by spot requirements for October. The Pacific market is equally bullish, with consistent demand from North Pacific (NoPac), Australia, and Indonesian coal activity. This widespread demand and limited tonnage have given owners the upper hand, and market participants are closely monitoring October volumes to see if the current strength will be sustained.
Supramax
The Supramax and Handysize markets in the Atlantic are generally firm, though the momentum varies by region. The U.S. Gulf has a positive outlook for Supramax vessels, while Handysize activity is subdued. The South Atlantic is the strongest performer, with both vessel sizes benefiting from healthy demand and a tight supply of ships, which is encouraging charterers to offer higher bids. In contrast, the Continent-Mediterranean market is described as balanced, with little new cargo for Supramaxes and only minor improvements for Handysizes.
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Source: Fearnleys
