The recovery of the dry bulk shipping markets was sustained well into 2018. During the second half of 2018, however, it seems that the markets have lost confidence in the presence of a slowdown of economic growth and increasing trade tensions.
The bulk trade growth decelerated from 4.0 % in 2017 to 2.7 % in 2018. For 2019, experts estimate that the trade will grow by merely 1.2 %. In 2018, the growth of the dry bulk carrier fleet was quite low at 2.7 % in tonnage terms. As a result of delays or cancellations, global deliveries in 2018 totaled 27 million dwt, down by almost 27 % year on year. The scrapping volume in 2018 was historically low. Only 54 dry bulk carriers of a combined 4.2 million dwt have been reported sold for demolition – a sharp drop of 67 % compared to 214 units of a combined 14.4 million dwt scrapped in 2017.
The ISL SSMR 2019-4 highlights various developments surrounding the major dry bulk markets and is available via our Webshop.