Greek Shippers Lead the Global Used-ship Market

Credits: Fredrick Filix/Unsplash

Greek shipowners have this year invested over $5.6 billion in second-hand oceangoing ships, but at the same time they have collected more than $5.2 billion from sales of their own ships, reports ekathimerini.

Cumulatively, the transactions made by companies of Greek interests in the secondary market of commercial ships reached $11 billion, making Greek shipowners by far the top players in this market.

A total of 241 merchant vessels were sold and 254 were bought, according to data from Allied Shipbroking for this year through December 25.

Greece tops the chart

Almost half of the above transactions in value concern the buying and selling of tankers. Greek shipping sold 107 tankers and bought 115. The transaction values, in which tankers outperformed and dry-bulk carriers lagged, also reflect the picture in the respective shipping markets: While in terms of tankers the freight market strengthened drastically in 2022, in cargo ships the correction was extensive.

In the dry-bulk market the deterioration of the climate had already started to take shape from the beginning of the year. Although the first quarter gave some signs of eventual stabilization, as the months progressed it became apparent that the positive freight market conditions of 2021 would be outdated. By the summer, things took a marked turn for the worse as China’s zero-Covid policy and the ensuing recession in the US and European economies dampened demand for dry cargo to an alarming extent.

Along with the freight market in dry bulkers, the prices of used ships also began to decline, a trend which continued after the end of the year’s third quarter.

The exact opposite trend was observed in the tanker market: The year started on a soft note after several years of underperforming tanker rates. But by February, Russia’s invasion of Ukraine upended the entire market: It became apparent that tanker rates would reflect the planet’s increased energy insecurity. Significant increases in ton-miles (i.e. longer routes as buyers turned to more reliable suppliers than Russia) and rising crude oil prices led the market on a steady uptrend.

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Source: Ekathimerini