Chemical tanker demand

The chemical tanker shipping market has been strongly supported by specialised trades and clean petroleum products demand during the second quarter of the year. Although many newbuildings were delivered, the market has been able to absorb the extra tonnage, according to shipping consultancy Drewry. Shipments out of South America and south-east Asia have been firm and vessels carrying South American oils and fats (vegoil) cargos fetched higher rates because of firm demand from the competing market in the Atlantic. Palm oil shipments on the long-haul trade from Malaysia to Europe were up, although higher-than expected Indonesian exports of palm oil due to the levy were delayed to July.