Investor Presentaiton
Capesize Market Outlook
Freight Rates Under Pressure but Outlook is Promising
> 5TC average reached lowest level since 2020 at US$ 5,826 in January; spot
rate averaged US$ 14,793 in Q1 2022
➤ Iron ore price averaged US$ 140/ton in Q1 2022 amid expectations of rising
demand and increased steel production in PRC
War Between Russia and Ukraine Reshaped Commodity Market
The commodity prices skyrocketed since the invasion and seaborne dry bulk
trades are also being interrupted
➤ Market continues to monitor the latest development closely as Black Sea is a
key region for global oil and dry bulk exports
Net Fleet Growth Eases in 2022
➤ 14 new ships (100k-400k dwt) joined the fleet so far in 2022, while
demolition is set to continue in coming years
➤ Capesize net fleet growth is 0.55% between January and March 2022
Short-term Outlook
➤ PRC steel production has been contracted in last two quarters but favorable
trade and fiscal policies are expected to stimulate the economy
➤ Despite tension in the Black Sea and the pandemic, FFA rates are still in
contango which should provide support to period rates in near term
CHT 中國航運股份有限公司
Chinese Maritime Transport Ltd.
中華榮 葉
CHINA PRIDE
Mar/2022 Investor Presentation
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