Americas News
US Gulf VLCC Rates Lose 28% on Week: Platts
Freight rates for VLCCs loading in the US Gulf have dropped by 28% over the past week, according to price reporting agency S&P Global Platts, in a sign the tanker markets may be starting to ease.
The cost for a US Gult-China VLCC dropped by $4.5 million on the week to reach $11.5 million by Thursday, Platts reported Friday.
Tanker rates have soared over the past two months since disputes within the OPEC+ coalition combined with reduced demand because of the COVID-19 pandemic to create a huge surplus in oil supply.
Demand for tankers as floating storage has surged in recent weeks as oil traders seek places to store crude and refined products on the expectation of higher prices in the future.
Tanker demand has been one of the few good stories for the shipping industry in recent weeks, and customers in the tanker sector have been some of the only ones that bunker credit managers have not needed to worry about so far in the pandemic.
