- Latest Panamax fixture edges lower than previous tender
- Utility buying continues to lend support to freight sentiment
South Korea’s latest KEPCO coal tender indicated that long-haul Panamax freight rates remain broadly firm, although the latest fixture was concluded at a slightly lower level than the previous tender, suggesting some moderation in voyage costs.
KEPCO fixed an 80,000 tonne (t) coal cargo, with loading scheduled during 1-10 August, at $20.55/dmt FIO (voyage basis). This compares with the previous fixture of $21.10/dmt FIO for a 75,000 t cargo loading during 22-31 July, indicating a modest decline of $0.55/dmt, or 2.6%.
The slight correction likely reflects changes in prevailing freight market conditions, including vessel availability and bunker prices, rather than a significant shift in underlying sentiment. At current levels, freight rates remain supportive for long-haul coal movements, with voyage-specific factors continuing to play an important role in fixture pricing.
Looking ahead, the Panamax market is expected to remain relatively firm, supported by steady utility procurement from Northeast Asia. However, freight direction will continue to depend on bunker price trends, vessel positioning, and the pace of fresh cargo enquiries across key loading regions.
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