Breaking News
Investing Pro 0
Cyber Monday Extended SALE: Up to 60% OFF InvestingPro+ CLAIM OFFER

China's commodity shipping demand to improve from Q4 - execs

Commodities Oct 06, 2022 01:11AM ET
Saved. See Saved Items.
This article has already been saved in your Saved Items
 
© Reuters. FILE PHOTO: A Kyowa container ship sails past people spending time at a riverside park, after the lockdown placed to curb the coronavirus disease (COVID-19) outbreak was lifted in Shanghai, China June 1, 2022. REUTERS/Aly Song

By Jeslyn Lerh and Emily Chow

SINGAPORE (Reuters) - China's demand for commodity shipments is expected to improve in the fourth quarter as investments in infrastructure projects and steel production pick up pace, while Beijing ramps up oil products exports, senior shipping executives said.

The world's top commodities buyer reduced energy and metals imports in the first half this year as COVID-19 restrictions ravaged its economy although Beijing has pledged to support growth through stimulus measures.

But China's steel production has shown signs of improvement, while the outlook for commodities demand was supported by the prospect of easing COVID-19 lockdowns, Berge Bulk's Chief Executive Officer James Marshall told Singapore International Bunkering Conference and Exhibition (SIBCON) 2022.

"We are quite confident in Q4 in terms of dry bulk rates and the volumes going into China in particular," Marshall said.

China's steel production had recovered from a low point in June, which is an optimistic indicator for the dry bulk sector, said Marshall, who operates one of the world's leading independent dry bulk fleet.

He said that the easing of pandemic lockdowns in China could boost the resumption of economic activity and lift infrastructure spending.

Jacob Meldgaard, chief executive officer at global refined oil products carrier TORM, is also optimistic about robust orders for ships in China's shipbuilding industry into next year.

The growth in orders is expected to support demand for commodities such as iron ore, according to Meldgaard.

Meanwhile, Beijing's decision to allow refiners to export more refined oil products will lead to a surge in demand for oil products tankers.

China could play an important role in the world's refinery system to supply missing barrels into Europe, Meldgaard said.

The European Union is expected to ban seaborne Russian crude and oil products in December and February, respectively, as part of sanctions on Russia for the Ukraine invasion, a move that will tighten global oil markets.

China's commodity shipping demand to improve from Q4 - execs
 

Related Articles

Add a Comment

Comment Guidelines

We encourage you to use comments to engage with other users, share your perspective and ask questions of authors and each other. However, in order to maintain the high level of discourse we’ve all come to value and expect, please keep the following criteria in mind:  

  •            Enrich the conversation, don’t trash it.

  •           Stay focused and on track. Only post material that’s relevant to the topic being discussed. 

  •           Be respectful. Even negative opinions can be framed positively and diplomatically. Avoid profanity, slander or personal attacks directed at an author or another user. Racism, sexism and other forms of discrimination will not be tolerated.

  • Use standard writing style. Include punctuation and upper and lower cases. Comments that are written in all caps and contain excessive use of symbols will be removed.
  • NOTE: Spam and/or promotional messages and comments containing links will be removed. Phone numbers, email addresses, links to personal or business websites, Skype/Telegram/WhatsApp etc. addresses (including links to groups) will also be removed; self-promotional material or business-related solicitations or PR (ie, contact me for signals/advice etc.), and/or any other comment that contains personal contact specifcs or advertising will be removed as well. In addition, any of the above-mentioned violations may result in suspension of your account.
  • Doxxing. We do not allow any sharing of private or personal contact or other information about any individual or organization. This will result in immediate suspension of the commentor and his or her account.
  • Don’t monopolize the conversation. We appreciate passion and conviction, but we also strongly believe in giving everyone a chance to air their point of view. Therefore, in addition to civil interaction, we expect commenters to offer their opinions succinctly and thoughtfully, but not so repeatedly that others are annoyed or offended. If we receive complaints about individuals who take over a thread or forum, we reserve the right to ban them from the site, without recourse.
  • Only English comments will be allowed.

Perpetrators of spam or abuse will be deleted from the site and prohibited from future registration at Investing.com’s discretion.

Write your thoughts here
 
Are you sure you want to delete this chart?
 
Post
Post also to:
 
Replace the attached chart with a new chart ?
1000
Your ability to comment is currently suspended due to negative user reports. Your status will be reviewed by our moderators.
Please wait a minute before you try to comment again.
Thanks for your comment. Please note that all comments are pending until approved by our moderators. It may therefore take some time before it appears on our website.
Comments (1)
AY Haych
AY Haych Oct 05, 2022 11:33PM ET
Saved. See Saved Items.
This comment has already been saved in your Saved Items
Ni hao
 
Are you sure you want to delete this chart?
 
Post
 
Replace the attached chart with a new chart ?
1000
Your ability to comment is currently suspended due to negative user reports. Your status will be reviewed by our moderators.
Please wait a minute before you try to comment again.
Add Chart to Comment
Confirm Block

Are you sure you want to block %USER_NAME%?

By doing so, you and %USER_NAME% will not be able to see any of each other's Investing.com's posts.

%USER_NAME% was successfully added to your Block List

Since you’ve just unblocked this person, you must wait 48 hours before renewing the block.

Report this comment

I feel that this comment is:

Comment flagged

Thank You!

Your report has been sent to our moderators for review
Continue with Google
or
Sign up with Email