Atlantic Supramax scrap market remains idle in week 3

The Supramax segment in the Continent and Baltic Sea regions endured a trading week under little bearish momentum, as a quiet market led to stagnant levels for the week of Jan. 13-20.

During the week, spot rates continued to face pressure, as the scrap market struggled to supply adequate cargo.

"The weak sentiment persists, with limited opportunities for owners," a charterer said.

Ultimately, the market stayed motionless, with the lack of fresh adequate cargo resulting in an increase in outbound ballasters.

"The overall stagnation left the trading week unchanged," a shipbroker said.

The latest figures showed a more negative sentiment in the Continent, with 87 laden ships and 55 ballasting, data from S&P Global Commodities at Sea showed.

The spread narrowed from week 2, as the market was stale, sitting at 32 on week 3.

Time-charter equivalent rates for the Rotterdam-Aliaga 40,000 mt ferrous scrap route, along with rates for both 0.5% sulfur marine fuels and scrubber-fitted ships, showed no change throughout the week.

Platts, part of S&P Global Commodity Insights, last assessed Rotterdam-Aliaga 40,000 mt ferrous scrap TCE rates for 0.5% sulfur marine fuels at $8,326/d on Jan. 20.

Platts last assessed the Rotterdam-Aliaga 40,000 mt ferrous scrap TCE rate for scrubber-fitted ships at $9,370/d Jan. 20, Commodity Insights data showed.

In the North Atlantic, US East Coast trans-Atlantic tonnage supply remained balanced, with no activity reported. However, spot rates began to decrease due to the little momentum observed in both North Atlantic and trans-Atlantic trades.

The latest figures showed a supply balance at a spread of 7 more laden Supramax ships than ballasters in week 3, with CAS data showing 14 laden ships against 7 ballasting ships.

Platts last assessed the 40,000 mt Rotterdam-Aliaga scrap route at $15/mt Jan. 20, showing no change week over week.

Additionally, Platts last assessed the 40,000 mt New Jersey to Aliaga trans-Atlantic scrap route at $24.25/mt Jan. 20, marginally down by 1% week over week, according to data from Commodity Insights.

Shipments of scrap cargoes and steel products via Supramax-Ultramax ships from Northwest Europe, the Baltic Sea and the Russian Baltic regions to Turkey and Turkish ports saw much more pressure during week 3, with 43,484 journeys in transit, down 51% week over week, according to CAS data.