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Wednesday, 12 February 20
MARKET INSIGHT - INTERMODAL
 The recent Coronavirus outbreak in China has led to a global health emergency by World Health Organization and it is yet to be seen how long the phenomenon will last compared also to the SARS outbreak in 2002. By now it is evident that the spread of the virus has been much more rapid, with more than 40,000 incidents and 1,000 deaths officially reported across 25 countries to date, while these figures are expected to keep going up.
The current situation has affected various businesses and industries around the globe and especially the shipping industry. The outbreak has knocked what was a positive sentiment during the start of the year across all sectors and disturbed the markets worldwide. The markets that are deeply dependent to China’s trade have been heavily affected, while the outbreak came to a period concurrent with the Chinese New Year holidays. The extended period of China’s shutdown has shrunk trade volumes worldwide and freight rates across all sectors have plummeted. It is safe to say that the economic distress will affect the China’s economic growth for the first quarter of 2020 and the annual GDP growth as well.
The central location of Wuhan, where the virus originated, which is strategically located on the Yangtze River, is one of the globe’s busiest waterways. More than two billion tonnes of cargo are transported through ports on the mainstream of the river every year. Likewise, more than 80% of China’s inland marine traffic moves on the Yangtze River, while Wuhan itself handles close to 1.5 mill containers a year. Seven out of the ten container ports are located in China and seems that the container industry will be the first to feel the turmoil from the virus effect.
Through Wuhan thousands of tons of coal, steel and crude oil are supplied. Therefore, any major situation that grounds for prolonged disruption on the supply chain from these regions results to great effects for both China and every shareholder that is in business with China and imports goods from there. Moreover, the factories shutdown has resulted in a slowdown of manufacturing and industrial production. As discussed the intra-Asian container shipping market is the first to feel the effect from the Coronavirus and it is expected that the long-haul trades to North America and Europe will be affected. The extended holidays and emergency measures to tackle the virus are estimated to reduce cargo volumes at Chinese ports including Hong Kong by over 6 million TEUs (20 foot equivalent units) in the first quarter of 2020 and forecast global container throughput growth would fall by at least 0.7% in 2020.
Looking forward, the industry widely believes this dynamic will be short – lived. As it was the case with SARS in the past, the supply chains should hopefully resume, resulting in a demand surge, increased trade volumes and even higher than before the virus outbreak freight rates.
By Stelios Kollintzas
Tanker Chartering Broker
Compiled by:
Intermodal Research & Valuations
Analysts:
Ms Eva Tzima
Mr.George Panagopoulos
Disclaimer and legal disclosure: For any further queries please do not hesitate to contact our Research & Valuations Department. The information contained in this report has been obtained from various sources, as reported in the market. Intermodal Shipbrokers Co. believes such information to be factual and reliable without making guarantees regarding its accuracy or completeness. Whilst every care has been taken in the production of the above review, no liability can be accepted for any loss or damage incurred in any way whatsoever by any person who may seek to rely on the information and views contained in this material. This report is being produced for the internal use of the intended recipients only and no reproducing is allowed, without the prior written authorization of Intermodal Shipbrokers Co.
The Information contained within the website of COALspot.com is intended for informational purposes only and is not intended as professional counsel and should not be used as such.
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Sunday, 24 August 14
SEA FREIGHT MARKETS STARTING TO LOOK POSITIVE; CAPES DRIVE FREIGHTS HIGHER
COALspot.com: The freight market has strengthen further this week with BDI up 7.19 pct week on week. The BDI was closed at 1,088 points while the B ...
Friday, 22 August 14
INDIAN IRON ORE ROYALTY RISE NOT LIKELY TO HURT STEELMAKERS' MARGINS - FITCH
Fitch Ratings does not expect an increase in India's iron ore royalty rates to have a major impact on the profitability of steel producers in t ...
Friday, 22 August 14
ARBITRATION CLAUSE IN LOU HELD TO REPLACE CHARTERPARTY ARBITRATION CLAUSE
KNOWLEDGE TO ELEVATE
The Claimants had claims for cargo damage against the vessel Owners arising under four bills of lading. The vessel was th ...
Friday, 22 August 14
ICAP ENERGY LAUNCHES GLOBAL COKING COAL DERIVATIVES TRADING
First contract completed and cleared on CME
COALspot.com: ICAP Energy, the energy business of ICAP plc, announces today that it has successful ...
Friday, 22 August 14
U.S WEEKLY COAL PRODUCTION UP 2.4% WEEK OVER WEEK
COALspot.com – United States the world's second largest coal producer, produced approximately 19.60 million short tons (mmst) of coal in ...
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- Kalimantan Lumbung Energi - Indonesia
- IHS Mccloskey Coal Group - USA
- Deloitte Consulting - India
- Therma Luzon, Inc, Philippines
- Mintek Dendrill Indonesia
- Kumho Petrochemical, South Korea
- TNB Fuel Sdn Bhd - Malaysia
- Bulk Trading Sa - Switzerland
- Bukit Makmur.PT - Indonesia
- Minerals Council of Australia
- Neyveli Lignite Corporation Ltd, - India
- Kohat Cement Company Ltd. - Pakistan
- Asmin Koalindo Tuhup - Indonesia
- Ministry of Transport, Egypt
- Electricity Authority, New Zealand
- Global Coal Blending Company Limited - Australia
- Intertek Mineral Services - Indonesia
- Krishnapatnam Port Company Ltd. - India
- Vedanta Resources Plc - India
- Indian Oil Corporation Limited
- Samtan Co., Ltd - South Korea
- Bhatia International Limited - India
- GN Power Mariveles Coal Plant, Philippines
- Ministry of Finance - Indonesia
- Manunggal Multi Energi - Indonesia
- Coastal Gujarat Power Limited - India
- London Commodity Brokers - England
- Indo Tambangraya Megah - Indonesia
- Leighton Contractors Pty Ltd - Australia
- Borneo Indobara - Indonesia
- Billiton Holdings Pty Ltd - Australia
- Kapuas Tunggal Persada - Indonesia
- Rashtriya Ispat Nigam Limited - India
- VISA Power Limited - India
- Altura Mining Limited, Indonesia
- LBH Netherlands Bv - Netherlands
- Thiess Contractors Indonesia
- Parry Sugars Refinery, India
- Bukit Baiduri Energy - Indonesia
- Pendopo Energi Batubara - Indonesia
- Sakthi Sugars Limited - India
- Wilmar Investment Holdings
- Barasentosa Lestari - Indonesia
- White Energy Company Limited
- Directorate General of MIneral and Coal - Indonesia
- Sical Logistics Limited - India
- The State Trading Corporation of India Ltd
- Mercuria Energy - Indonesia
- Indonesian Coal Mining Association
- Edison Trading Spa - Italy
- Maharashtra Electricity Regulatory Commission - India
- Ceylon Electricity Board - Sri Lanka
- Filglen & Citicon Mining (HK) Ltd - Hong Kong
- Bharathi Cement Corporation - India
- Kepco SPC Power Corporation, Philippines
- European Bulk Services B.V. - Netherlands
- Pipit Mutiara Jaya. PT, Indonesia
- Simpson Spence & Young - Indonesia
- GAC Shipping (India) Pvt Ltd
- Meralco Power Generation, Philippines
- Rio Tinto Coal - Australia
- TeaM Sual Corporation - Philippines
- Globalindo Alam Lestari - Indonesia
- SMC Global Power, Philippines
- Sindya Power Generating Company Private Ltd
- Parliament of New Zealand
- Madhucon Powers Ltd - India
- Bank of Tokyo Mitsubishi UFJ Ltd
- Australian Coal Association
- ASAPP Information Group - India
- Asia Pacific Energy Resources Ventures Inc, Philippines
- Bangladesh Power Developement Board
- Heidelberg Cement - Germany
- Timah Investasi Mineral - Indoneisa
- Aditya Birla Group - India
- Bayan Resources Tbk. - Indonesia
- The Treasury - Australian Government
- Metalloyd Limited - United Kingdom
- Ministry of Mines - Canada
- Economic Council, Georgia
- Vizag Seaport Private Limited - India
- PetroVietnam Power Coal Import and Supply Company
- Directorate Of Revenue Intelligence - India
- Wood Mackenzie - Singapore
- India Bulls Power Limited - India
- Australian Commodity Traders Exchange
- Formosa Plastics Group - Taiwan
- Karaikal Port Pvt Ltd - India
- Indian Energy Exchange, India
- Bahari Cakrawala Sebuku - Indonesia
- Electricity Generating Authority of Thailand
- Bhushan Steel Limited - India
- Meenaskhi Energy Private Limited - India
- Kaltim Prima Coal - Indonesia
- Global Business Power Corporation, Philippines
- Global Green Power PLC Corporation, Philippines
- Xindia Steels Limited - India
- Medco Energi Mining Internasional
- Anglo American - United Kingdom
- Petron Corporation, Philippines
- The University of Queensland
- Indogreen Group - Indonesia
- Aboitiz Power Corporation - Philippines
- Videocon Industries ltd - India
- Agrawal Coal Company - India
- Merrill Lynch Commodities Europe
- Independent Power Producers Association of India
- McConnell Dowell - Australia
- Mercator Lines Limited - India
- Attock Cement Pakistan Limited
- Coal and Oil Company - UAE
- Jindal Steel & Power Ltd - India
- Energy Link Ltd, New Zealand
- Iligan Light & Power Inc, Philippines
- Kobexindo Tractors - Indoneisa
- PNOC Exploration Corporation - Philippines
- Marubeni Corporation - India
- Gujarat Mineral Development Corp Ltd - India
- Cigading International Bulk Terminal - Indonesia
- Dong Bac Coal Mineral Investment Coporation - Vietnam
- Indika Energy - Indonesia
- Power Finance Corporation Ltd., India
- Larsen & Toubro Limited - India
- Goldman Sachs - Singapore
- Semirara Mining Corp, Philippines
- Siam City Cement - Thailand
- Antam Resourcindo - Indonesia
- Eastern Coal Council - USA
- Thai Mozambique Logistica
- Baramulti Group, Indonesia
- Dalmia Cement Bharat India
- Toyota Tsusho Corporation, Japan
- Malabar Cements Ltd - India
- Commonwealth Bank - Australia
- Trasteel International SA, Italy
- Karbindo Abesyapradhi - Indoneisa
- Carbofer General Trading SA - India
- Sinarmas Energy and Mining - Indonesia
- ICICI Bank Limited - India
- Offshore Bulk Terminal Pte Ltd, Singapore
- Bukit Asam (Persero) Tbk - Indonesia
- IEA Clean Coal Centre - UK
- Tata Chemicals Ltd - India
- Grasim Industreis Ltd - India
- AsiaOL BioFuels Corp., Philippines
- Planning Commission, India
- GVK Power & Infra Limited - India
- Star Paper Mills Limited - India
- Ind-Barath Power Infra Limited - India
- Gujarat Electricity Regulatory Commission - India
- Price Waterhouse Coopers - Russia
- Kideco Jaya Agung - Indonesia
- Essar Steel Hazira Ltd - India
- Petrochimia International Co. Ltd.- Taiwan
- Siam City Cement PLC, Thailand
- San Jose City I Power Corp, Philippines
- Romanian Commodities Exchange
- Orica Mining Services - Indonesia
- Riau Bara Harum - Indonesia
- SN Aboitiz Power Inc, Philippines
- Maheswari Brothers Coal Limited - India
- SMG Consultants - Indonesia
- GMR Energy Limited - India
- Oldendorff Carriers - Singapore
- Coalindo Energy - Indonesia
- Singapore Mercantile Exchange
- Dr Ramakrishna Prasad Power Pvt Ltd - India
- Mjunction Services Limited - India
- Bhoruka Overseas - Indonesia
- Sarangani Energy Corporation, Philippines
- Holcim Trading Pte Ltd - Singapore
- Orica Australia Pty. Ltd.
- Ambuja Cements Ltd - India
- Gujarat Sidhee Cement - India
- Renaissance Capital - South Africa
- Latin American Coal - Colombia
- Chamber of Mines of South Africa
- CIMB Investment Bank - Malaysia
- Central Java Power - Indonesia
- Sojitz Corporation - Japan
- South Luzon Thermal Energy Corporation
- Jorong Barutama Greston.PT - Indonesia
- Binh Thuan Hamico - Vietnam
- Energy Development Corp, Philippines
- MS Steel International - UAE
- Standard Chartered Bank - UAE
- PTC India Limited - India
- Semirara Mining and Power Corporation, Philippines
- Central Electricity Authority - India
- New Zealand Coal & Carbon
- Miang Besar Coal Terminal - Indonesia
- International Coal Ventures Pvt Ltd - India
- CNBM International Corporation - China
- Port Waratah Coal Services - Australia
- Kartika Selabumi Mining - Indonesia
- Banpu Public Company Limited - Thailand
- Lanco Infratech Ltd - India
- Africa Commodities Group - South Africa
- Salva Resources Pvt Ltd - India
- Tamil Nadu electricity Board
- Straits Asia Resources Limited - Singapore
- Posco Energy - South Korea
- Interocean Group of Companies - India
- Alfred C Toepfer International GmbH - Germany
- Truba Alam Manunggal Engineering.Tbk - Indonesia
- Makarim & Taira - Indonesia
- Vijayanagar Sugar Pvt Ltd - India
- Jaiprakash Power Ventures ltd
- Sree Jayajothi Cements Limited - India
- PowerSource Philippines DevCo
- Georgia Ports Authority, United States
- Savvy Resources Ltd - HongKong
- Uttam Galva Steels Limited - India
- OPG Power Generation Pvt Ltd - India
- Cement Manufacturers Association - India
- Chettinad Cement Corporation Ltd - India
- Eastern Energy - Thailand
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