VLCC demand along the AG>West trade is likely to remain subdued over the remainder of the year amid OPEC-led production cuts in the Middle East as well as higher crude supply in the US. Regarding Arabian Gulf volumes to the East, we expect ton-mile demand growth of about 1.6% this year, while Atlantic Basin volumes to the East will remained supported by higher US crude exports on the back of favorable WTI pricing.
McQuilling Services' July Short-Term Tanker Market Outlook
July 26, 2017
The International Monetary Fund recently downgraded US GDP growth estimates by 0.2%, which could potentially indicate slower than expected domestic demand for refined products. In our view, this would likely lead to higher clean product flows out of the Gulf to regional trading partners in the Caribbean.
Risk Amid Recovery
June 1, 2017
Clean product exports out of the US Gulf remain supportive of MR2 tanker demand amid consistent trading to the Caribbean and South American regions; however, we see potential pressures on the horizon given news of increased refinery operations in Mexico and Brazil.
Short-Term Tanker Market Outlook
March 28, 2017
McQuilling Services discusses the potential impacts the new US administration could have on the oil and gas industry in the context of the relatively recent removal of the ban on US crude exports. The expansion of the US oil and gas industry will likely boost tanker demand in the Gulf with considerable growth to the East.
Global Tonnage Supply Review for 2017
March 7, 2017
In McQuilling Services’ 2017-2021 Tanker Market Outlook, we examine the tanker fleet including potential vessel additions, deletions and contracting as well as short term supply disruptions such as vessel delays in port and slow steaming to develop a comprehensive fleet profile in support of our five year forecast.