Global Shipping Rates Surge: VLCC Rates Hit $48,171/Day In February

69

Shipping rates for Very Large Crude Carriers (VLCC) have reached their highest level since November 2023, rising 3.5% month-on-month to $48,171/day in February, according to data from the Centre for Monitoring Indian Economy (CMIE).

The VLCC, with a capacity of up to 320,000 deadweight tonnes, has been the primary vessel for global crude oil transportation. Conversely, Aframax and Suezmax rates experienced a decline during the same period.

Oil trade increased

The uptick in rates is attributed to increased oil trade, impacting larger vessel categories. Aframax vessels, with a capacity of around 120,000 deadweight tonnes, and Suezmax tankers, with a capacity of 180,000 deadweight tonnes, witnessed a decrease.

Moody’s Investor Services suggested limited inflation impact, citing low demand and ample ship availability. Port Watch data indicated a declining trend in Suez Canal trade volume as of February 20, 2024, raising concerns about prolonged disruptions affecting global shipping and trade.

Did you subscribe to our daily newsletter?

It’s Free! Click here to Subscribe

Source : Logisticsinsider