Shipping market weakness is hard to change next year

"In the domestic resources and environmental constraints to strengthen, under the dual pressures of international economic recovery instability, China will enter the level of potential economic growth trend, price increases tend to be moderate, stable new jobs, economic structure has been optimized in the 'new normal '2015 coastal dry bulk shipping demand growth steadily, the annual growth rate is still below 6%. "December 22, 2014, Shanghai International Shipping Center released its" China's coastal dry bulk shipping Market Express (2014 Review and 2015 Outlook), "pointed out, in 2015 the coastal dry bulk freight index (CBFI) will fluctuate between 900-1200, before the low overall trend higher.

Review of 2014, China's coastal dry bulk shipping market rose slightly after the first all the way down, and continues to set record lows, including macro-economic downturn, hydroelectric power is a serious surplus capacity and rising freight rates fell the most important factor.

As of the end of November 2014, the Shanghai Shipping Exchange, China Coastal Bulk Freight Index (CBFI) annual average of 998.32 points, compared with 9.27% ​​in 2013 to continue to decline. Among them, the coastal coal transportation market quickly pull up early in the spring under the combined effects of a substantial domestic coal prices and the Datong-Qinhuangdao line maintenance and other factors, but later due to consumer demand for electricity continues to slump, leading to depressed freight rates; coastal ore transportation market is subject to real estate, automobile, shipbuilding and other steel end demand sluggish performance, coupled with the NPP steel mills and other major energy-intensive enterprises, tariffs, although first-quarter shock up, but then continued to decline.

Looking to 2015, the center said, the coal, the Chinese domestic economy continues to slow growth, coupled with the continuous adjustment of energy structure will allow play to the effect of thermal power weakened compared with 2014, China's coal demand growth continued to slow; ore areas In China's environmental governance and the steel industry to increase the backward production capacity out of the background, China's iron ore growth will slow, infrastructure has become a major source of incremental demand for steel; cereals in 2015 accounted for the domestic food supply rising demand for food has increased the rigidity of the coastal food shipments increase or return to the upswing. Meanwhile, in 2015 China's coastal dry bulk capacity growth will rebound to around 3 percent, a slight excess capacity to alleviate the situation, but to a limited extent.