Tanker Market Experiences Declines Across Multiple Segments

March 3, 2025

This week’s MEG LR2 freight market remained stable, with many industry participants in London for International Energy Week, reports Baltic Exchange.

VLCC

The tanker market experienced a decline this week.

Middle East Gulf to China (TD3C): Rates for the 270,000 mt trip decreased by 5 points week-on-week to WS58.10, resulting in a round-trip TCE of $37,997 per day.
West Africa to China (TD15): Rates for the 260,000 mt voyage fell by approximately 2.5 points to WS59.83, yielding a round voyage TCE of $40,610 per day.
US Gulf to China (TD22): Rates for the 270,000 mt trip dropped by $210,000 week-on-week to $8,122,500, equivalent to a daily round-trip TCE of $42,167 (a decrease of approximately $700 per day from last week).

Suezmax tanker owners faced downward pressure this week.

Nigeria/UK Continent (TD20): Rates for the 130,000 mt voyage decreased by 6 points to WS85, resulting in a daily round-trip TCE of $33,818.
Guyana to UK Continent (TD27): Rates for the 130,000 mt trip fell by 3 points to WS84.06, equivalent to a daily round-trip TCE of $32,978 (based on Rotterdam discharge).
CPC/Med (TD6): Rates for the 135,000 mt voyage declined by approximately 10 points to WS103.75, translating to a daily round-trip TCE of $41,640.
Middle East Gulf to Mediterranean (TD23): Rates for the 140,000 mt trip remained around the WS89-90 level.

Aframax tanker rates showed mixed performance:

Cross-UK Continent (TD7): Rates for the 80,000 mt trip remained stable at WS110, resulting in a daily round-trip TCE of just over $29,000.
Cross-Mediterranean (TD19): Rates for the 80,000 mt voyage continued to decline, falling by 7 points to WS122.5, equivalent to a daily round-trip TCE of approximately $29,700.
East Coast Mexico/US Gulf (TD26): Rates for the 70,000 mt trip remained around WS132.5, yielding a daily round-trip TCE of about $24,800.
Covenas/US Gulf (TD9): Rates for the 70,000 mt voyage slightly decreased to WS130, translating to a daily round-trip TCE of approximately $24,000.
US Gulf/UK Continent (TD25): Rates for the 70,000 mt trans-Atlantic trip increased by 12.5 points to WS156.67, resulting in a round-trip TCE of $38,214 per day.

Did you subscribe to our daily Newsletter?

It’s Free Click here to Subscribe!