- Latest fixture concluded at 24% higher freight than previous tender
- Stronger Pacific chartering activity, tighter vessel supply lift rates
Steady procurement by South Korea’s Korea Electric Power Corporation (KEPCO) continued to support Panamax freight sentiment in the Pacific, with the latest Australian fixture indicating a notable recovery in freight levels amid improving regional market conditions.
KEPCO fixed a 58,000 tonnes (t) Abbot Point, Australia-Donghae, South Korea cargo on Pan Ocean for 05-14 August loading at $19.89/dmt FIO. The fixture marks a $3.79/dmt (23.5%) increase from the previous Newcastle-Dangjin fixture concluded at $16.10/dmt FIO, reflecting firmer freight sentiment across Australian export routes.
The higher fixture level was supported by stronger Pacific chartering activity, tighter prompt Panamax vessel availability, and rising bunker prices. The shift from Newcastle to Abbot Point, along with different discharge ports and August loading dates, also contributed to the higher freight assessment.
Outlook
The latest KEPCO fixture suggests that Panamax freight in the Pacific is gradually strengthening, supported by consistent Korean utility demand and improving regional fundamentals.
However, freight direction is expected to remain route-specific, with vessel positioning, cargo availability, and bunker price movements continuing to influence fixture levels.
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