Asia/Pacific News
CPC Forced to Stop IFO180 Sales Due to IMO2020
Taiwan's CPC Corporation says it has been forced to stop selling IFO180 and IFO80 marine fuels at a number of the country's ports as part of its preparations for IMO2020.
The move takes effect from October at the ports of Keelung, Taichung, and Kaohsiung.
"We are forced to make this decision in order to satisfy the rising demand for LSMF-180(0.5%) in Q4, 2019. Therefore, CPC needs to clean and transfer our tanks and barges from MF-180 to LSMF-180(0.5%) not later than this October," the supplier explained in an email to customers today.
Taiwan has been selling 0.50%S fuels since the beginning of this year in response to demand created by the January 1, 2019 introduction of China's new emission control area (ECA) rules.
Unlike ECAs in North America and Europe, China's ECAs mandate a 0.50% cap in line with the IMO2020 rule.
However, demand for these fuels is widely expected to jump in Q4 of this year when the world fleet as a whole begins its switch to low sulfur fuels ahead of the January 1, 2020 start date of the new global 0.50% sulfur cap.
The Singapore Shipping Association (SSA) this week identified November 1 as the "transition date" for marine shipping companies to move over to lower sulfur IMO grade fuels.
