National Centre of Excellence in Green Ports and Shipping
A collaborative platform between Ministry of Ports, Shipping and Waterways (MoPSW) and The Energy and Resources Institute (TERI)
National Centre of Excellence in Green Ports and Shipping
A collaborative platform between Ministry of Ports, Shipping and Waterways (MoPSW) and The Energy and Resources Institute (TERI)
National Centre of Excellence in Green Ports and Shipping
A collaborative platform between Ministry of Ports, Shipping and Waterways (MoPSW) and The Energy and Resources Institute (TERI)
Reports
Tanker Market Report
Author(s):
Force Majeure
Abstract:
The Tanker Market Report for 2024 reveals several key trends. The end of the previous year saw a surge in attacks on ocean-going vessels in the Red Sea, causing many shipping companies to temporarily halt their transits through the area. This, along with tightening fleet capacity, ongoing geopolitical conflicts, and strong US crude exports, is predicted to drive up tanker freight in 2024. The high incidence of violent attacks on ships in the Red Sea is likely to maintain elevated insurance costs and encourage many tankers to opt for the longer route via the Cape of Good Hope. The supply of crude tankers is anticipated to grow by 4.0% in 2023, but decrease by 0.6% in 2024. Demand for crude tankers is expected to increase by 4.5-6.5% compared to 2022, while supply will decrease by 0.6%. The demand growth for product tankers is projected to be 6-8%, with supply falling by 0.7%. Freight rates, time charter rates, and second-ship values are all expected to rise throughout 2023 and 2024.