- Improving vessel supply, softer competition weigh on Oct-loading rates
- Market moving beyond tighter prompt-tonnage window seen earlier in Sep
South Korea’s latest Korea Electric Power Corporation (KEPCO) tender on 22 September indicates a notable easing in Australia-Korea coal freights, with Pan Ocean fixed at $18.78/tonne (t) FIO for 80,000 t from Gladstone to Boryeong for 5-14 October loading. This compares with $23.21/t in the 17 September tender for an 80,000 t Newcastle-Hadong cargo for 23 September-2 October.
The latest rate is therefore $4.43/t, or 19.1%, lower than the previous tender, despite both fixtures involving similar Panamax-sized cargoes. The move suggests softer freight economics for October-loading cargoes as the market moves beyond the tighter prompt-tonnage window seen earlier in September.
With the latest KEPCO fixture at $18.78/t, the key takeaway is that freight has moved lower from the elevated September tender level, although subsequent fixtures will be needed to establish whether this represents a sustained correction or a route-specific adjustment.
Leave a Reply