While most headlines in the LNG sphere dealt with the coronavirus and its impact on LNG exports and cargo cancellations, a niche segment – LNG-to-power – has been budding in the background. With the right regulations, these projects can generate LNG demand quickly, easing the pressure on the LNG shipping market.
China’s LPG demand has started recovering with PDH operating rates improving after the shutdowns due to the outbreak of the coronavirus (COVID-19) in January. The pandemic has not impacted PDH expansion plans in the country as three PDH facilities are set to open in 2Q20.
Development of the Simandou blocks in Guinea will not only increase the country’s iron ore exports but will also prompt Chinese importers to shift some iron ore imports away from Australia to Guinea, which will add to dry bulk shipping demand.
On 18 March 2020, the US imposed sanctions on seven entities (including Chinese trading and shipping companies) for knowingly engaging in a significant transaction for the purchase, acquisition, sale, transport, and marketing of petrochemical products from Iran.
In this 50-page special report, Drewry’s investment research team updates its independent assessment of the financial health of the box shipping industry. The full report is now available to purchase online.