As CPP volumes on crude supertankers decline, Vortexa analyses the main factors of this occurrence and provides a view on the future of VLCC and Suezmax clean maiden voyages.
Firm naphtha demand and discount to LPG prices has boosted naphtha volumes. At the same time LR2 tankers are involved in trades of other products, letting LR1 to gobble up market share out of the Middle East.
What are the dynamics behind this dirty-to-clean shift and what is the impact on the product and crude tanker markets?
Vortexa summarises the trends and dynamics that prevailed in the crude and product tanker market throughout Q2 2021
The OPEC+ announcement to stick to an increase in supply of crude has to date failed to kickstart a morose market. Using Argus Media pricing and Vortexa flows and freight data, we explore whether the expected second half of the year rally is due to materialise.
Elevated naphtha exports from Europe supported long-haul voyages in favour of LR2 tankers. Yet, will this trend contribute to uplift LR2 freight rates?
An ailing crude market has driven charterers to employ newbuild crude tankers for East-to-West of Suez CPP cargo transits, adversely impacting LR2 demand.
As naphtha continues to find outlets towards the East, LR2 utilisation is on the rise in March, helping resurrect rates from multi-year lows. But widening LPG discounts to naphtha are expected to put a lid on Asia's naphtha imports in the coming months.
As the US northeast (PADD 1) heads into the winter season, one factor on the minds of diesel market participants is will the change of seasons drive a change in flows?