Spring Break for MRs? (March 20, 2015)
Is the strength in the MR market sustainable?
Several years ago, the general thought seemed to be that product tankers were the future, while crude tankers were expected to have a hard time for the foreseeable future. The idea was that refinery expansions in India and the Middle East were going to lead to growing product tanker demand while the growing oil production in the US was going to curtail crude tanker demand. As MR rates have improved significantly in the last six months, the question arises if this is due to fundamental changes that are finally falling into place or whether it is the result of a seasonal upturn that could fizzle out over the next months.