Clarksons: Old Panamaxes Slowly Fading Away

Image Courtesy: Diana Containerships

The ‘old Panamax’ sector seems to be slowly fading away, falling from 969 units in 2012 to 796 at the start of October, as the fleet is in a steady and perhaps terminal decline, according to Clarksons Research.

Although plenty of ‘old Panamaxes’ are out there battling on, things are only going one way at the moment amid rock-bottom charter rates and record scrapping levels. Clarksons said that if vessel deployment opportunities globally increase, a ‘rising tide’ might even support some of these ships, but in general a decline now appears to have set in.

Designed with Panama Canal transit in mind, Panamaxes became deployed widely and at the start of 2016, 17% were deployed on the Transpacific, mainly through the canal to the US East Coast, but 17% were deployed elsewhere on the mainlanes and 28% on north-south trades.

However, Clarksons said that this may have been the last hurrah for the ‘old Panamaxes’.

In June 2016 the new locks at the Panama Canal opened, allowing much larger ships to transit on the key Asia-USEC trade. panamaxesOver 150 ‘old Panamaxes’ were deployed on that trade back then and today the total is down to about 70.

Slow growth on north-south trades also contributed to the onset of major scrapping, with 55 old Panamaxes sold for demolition this year, and 217 since the start of 2012.

Rates have crashed to levels below those for smaller ships and asset prices have also hit the depths with a 10 year old at USD 6 million, “basically down to scrap value,” Clarksons said.

Share this article

Follow World Maritime News

In Depth>

Events>

<< Nov 2017 >>
MTWTFSS
30 31 1 2 3 4 5
6 7 8 9 10 11 12
13 14 15 16 17 18 19
20 21 22 23 24 25 26
27 28 29 30 1 2 3

Maritime Information Warfare 2017

Maritime Information Warfare will focus on the growing need for navies to develop their information exploitation capabilities…

read more >

INTERNATIONAL GREEN SHIPPING AND TECHNOLOGY SUMMIT

The Summit will gather key marine experts and companies around the globe which have a big influence in the industry…

read more >

The CWC 18th Annual World LNG Summit & Awards Evening

The CWC World LNG Summit will continue to give you access to premium networking opportunities as it brings together the who’s who…

read more >

Marintec China 2017

The largest maritime event in Asia Pacific, Marintec China connects maritime professionals from the entire shipbuilding supply chain together.

Over the years, Marintec China has grown to reflect the size and importance of the Asian maritime market. 2015 event is another record-breaking edition with the largest exhibition area and the highest number of industry professionals attending ever. The encouraging figures proven that China remains one of the major shipbuilding nations and Marintec China has been the most authoritative platform in Asia.

With the maritime industry facing great opportunities but also many challenges, it is important for the industry to connect and engage more to ultimately win new business in globally-significant markets. A visit to Marintec China is a great way to learn about the latest technology and innovation of the supply industry, a platform for industry professional to meet face to face, make connection and do business.

Marintec China is poised to be the definitive event and is undoubtedly a must-attend for all involved in the maritime industry.

Marintec China will be held from 5 to 8 December 2017 at the Shanghai New International Expo Centre in Shanghai, China and continue its dedication to serve as the “LEADING” platform “CONNECTING” the community and “STRENGTHENING” the maritime industry.

Marintec China offers the perfect opportunity for companies serving the maritime market to showcase their innovations, products and services to a wide audience. A platform for face to face meetings in business, creating new relationships and consolidating existing ones.

More info

read more >