The values of bulk carriers have witnessed a significant surge, showing strength across all ages and size categories, particularly in the Capesize and Supramax sectors, says an article published on vessels value website.
Summary
- Bulk carrier values have surged significantly across all ages and size categories, especially in the Capesize and Supramax sectors.
- 20-year-old Capesize vessels of 180,000 DWT saw a 39.6% increase in value, reaching USD 19.35 million, the highest since 2010.
- 0-year-old Supramaxes of 60,000 DWT increased by 12.6% to USD 37.64 million.
- Year-on-year comparisons show impressive gains in Capesize vessels, with a 43.3% increase for 0-year-old ships of 180,000 DWT, reaching USD 76.22 million.
- Market activity has increased significantly, with Capesize sales more than doubling compared to the previous year.
Capesize Sector Gains
In the Capesize segment, the values for 20-year-old vessels of 180,000 DWT soared by approximately 39.6%, climbing from USD 13.86 million to USD 19.35 million, marking the highest levels seen since 2010. Conversely, newly delivered 0-year-old Supramaxes of 60,000 DWT have firmed by around 12.6% since the beginning of the year, rising from USD 33.44 million to USD 37.64 million.
Year-on-Year Comparisons
Year-on-year comparisons reveal impressive gains across Capesize vessels, with 0-year-old ships of 180,000 DWT experiencing an increase of roughly 43.3%, surging from USD 53.25 million to USD 76.22 million. This surge in values is reflected in the market’s increased activity, with the volume of Capesize sales more than doubling compared to the same period last year.
Market Activity And Trends
The Bulker sale and purchase market have shown remarkable dynamism, witnessing a substantial year-on-year increase of about 35%. Notably, in February 2024 alone, there were 33 Capesize sales concluded, indicating a staggering 267% increase compared to the nine sales recorded in February 2023. The Supramax sector also experienced growth, with a notable increase of around 20%.
Buyer Trends
Greek buyers emerged as the most active participants in the Capesize sector, accounting for approximately 33% of purchases. They shared this top spot with Chinese buyers in the Supramax market, where both groups collectively held a share of around 28%.
Factors Driving The Surge
This surge in values can be attributed to robust earnings, particularly notable during a period traditionally considered quiet for bulkers due to seasonality and the Lunar New Year celebrations in the Far East. However, this year has been an exception, with current Capesize earnings reaching the highest seasonal levels since 2010. Spot rates for Bulk carriers have soared to around USD 35,750 per day, more than double the rates observed at this time last year, which were around USD 15,000 per day.
Notable Sales
Recent notable sales contributing to pushing values higher include:
- The sale of the Capesize (Newcastlemax) vessel Shin Koryu (208,000 DWT, Oct 2009, Universal) to Winning Shipping for USD 32.75 million (VV Value USD 30.46 million).
- The sale of the Supramax BC Bulk Monaco (63,700 DWT, Jun 2023, Shin Kasado Dock) to CTM Deher for USD 40.5 million (VV Value USD 39.69 million).
- The sale of the Supramax BC Andromeda (61,500 DWT, Jan 2011, Oshima) to unknown Turkish buyers for USD 21.0 million (DD Passed, VV Value USD 19.80 million).
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Source: vessel value
