Chart of the Week Dry Bulk: Coal from Australia to China
Rise in April to highest level since September 2020
In the first days of May, we have seen that the Capesize freight market momentum is still solid, while there are signs of slowdown in Panamax. It is interesting to note that the Chinese (see picture above) have stepped up their Australian thermal coal imports again after the lifting of the ban, which will eventually have a positive impact on Panamax rates. April was the first month of highest Chinese thermal coal imports from Australia, with the trend of increased purchases continuing in the second quarter.
In the grain segment, we expect further shortages in commodity flows following the European Commission's recent ban on imports of Ukrainian wheat, corn, rapeseed and sunflower into Bulgaria, Hungary, Poland, Romania and Slovakia until June 5. However, imports of all products from Ukraine, including wheat, corn, rapeseed and sunflower, to the rest of the European Union countries will continue without restrictions.
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