With Chinese New year holidays just around the corner (commencing 30 th January and finishing 7th February) it was no surprise to see levels in China improve as end buyers looked to stock their yards.
However, with Indian sub continent levels pushing on remarkably this week, Chinese buyers were deprived of any opportunities to pick up international tonnage. What will be of some consolation is the fact the state owners with Chinese flagged tonnage will continue their aggressive scrapping policy this year, off the back of the government subsidies announced late last year something that will see most demo yards receive incentivized vessels and at prices below market.
Source: steel guru. 25 January 2014