Lloyd’s List: China Could Help VLCC Overcapacity by Purchasing all 15-Year-Old Vessels

“Chinese oil companies could help the tanker chartering markets by buying up many of the ageing very large crude carriers, which other shipowners are struggling to trade, to satisfy the Asian country’s goal of transporting imports on domestic tonnage. Rather than ordering vast numbers of newbuilding vessels at national shipyards, which would compound the continued effect of vessel overcapacity in the shipping markets, the argument for buying up secondhand tonnage was put forward by New York-headquartered brokers Poten & Partners in its weekly tanker comment. ‘While China is certainly doing its part to support the tanker market from a demand perspective, the country also has the ability to significantly impact vessel supply,’” the report said.”