Analysts expect that the crude tanker segment of the shipping industry may not perform well in the near future because of the sharp decline in the import of crude oil by one of the largest consumer of energy, the USA.
The US has become self-sufficient for crude, because of its the boom in the shale oil industry in the country. US imports of crude oil declined significantly by almost 4 to 4.5 million barrels a day. That is not being made up by other areas that are growing in import demand. That has a negative outlook on the crude tanker segment.
The Baltic Dirty Tanker Index, the benchmark for the freight rate of crude carriers, declined to 609 recently from 1,893 in January 2006. It had peaked to 3,194 on November 17, 2004.
Industry sources said product tanker segment is the only segment that remained profitable in the last few years. This is because the USÂ’ refineries are working extra and that has helped product trade pick up significantly. This has led to companies like Great Eastern Shipping putting more focus on the product tanker segment.
The Baltic Clean Tanker Index, the benchmark for product tankers, was 561 recently, down from 1,505 in January 2006. It had touched its peak of 1,929 on October 24, 2005. The worldwide fleet increased to 136 in 2012 from 106 in 2007.
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