The Capesize fleet’s size declined for the fifth consecutive month in June 2015, as the number of demolitions continued to exceed newbuilding deliveries.
IHS Maritime’s Sea-web.com data show that in June, six Capesizes were delivered, while 17 were demolished.
This continues a trend going back to February 2015, when six Capesizes were delivered and nine were demolished.
That month, the Baltic Dry Index fell to a historic low as China’s demand for dry commodities sagged in the face of slowing economic growth.
In March, eight Capesizes were delivered and 10 were demolished.
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In April, four were delivered and 14 were demolished; in May, five were delivered and 22 were demolished.
With over 70 Capesizes being broken up year to date, 2015 could turn out to be a record year for such demolitions, eclipsing the 91 Capesizes that were demolished in 2012.
Dry bulk consultancy Commodore Research commented, “It is no secret that Capesize fleet growth has been minimal this year, and this has led to much better expectations for Capesize rates during the second half of the year, as iron ore shipments are extremely seasonal. We continue to believe that only the optimism for the second half of 2015 Capesize rates is justified.”