July 20 news: According to brokers Tuesday (the 19th) said the current shipping rates in Asia have fallen to lows of the year, but due to slow demand, excess supply ship, so before August, tariffs may also further decline.

US Gulf to Japans benchmark route, modern Panamax cargo freight of $ 36-37 per tonne, more than a week ago, fell by about $ 3. The current tariffs than the highest point in March this year, the dollar hit a low of about 40% 60-65, essentially comparable level in June last year.

Shippers that the decline in Chinese demand is the main reason for decline in freight rates. In addition, there are many new freighter put into operation. But nearly two months to consider the tariff has dropped so much, so there may be stable at the current levels.

In recent months Chinas iron ore imports have been as steel product prices and decline.

In recent years, the strong Chinese import demand for steel and other products, has been the main driving force of the shipping market.

Brokers said the market is expected that China may revalue the yuan at the end of the year, which may also prompt Chinese importers to postpone imports.

Market participants expressed the hope that Chinas imports of RMB appreciation can be restored. The shipping market is currently facing the worst situation. Crude oil prices higher than a year earlier, but comparable with the previous year, but tariffs, which means a substantial decline in the profits of the ship. On Tuesday, NYMEX benchmark crude futures contract traded at $ 57.32 / barrel, compared to July 7 had hit a record high $ 62.10.

As crude oil prices remain firm, has been pulling the tanker fuel prices, which will support the shipping rate. However, demand for raw materials can not be restored until the end of August.

On the benchmark US Gulf to Japan route, their prices regularly about 1.9 to 20,000 US dollars a day, compared to a week ago at $ 2-2.2 million. Pacific freight market is about $ 10,000 a day last week at $ 1.1-1.3 million.