Crude tanker mileage declined in February due to less VLCC voyages East Coast Americas to NE Asia

28 March 2024 Vortexa

Average laden completed voyage mileage for the main crude tanker classes (Aframax, Suezmax, VLCC) declined 4.2% m-o-m in February.

➔ VLCCs average mileage declined 7.1% m-o-m, while Aframax and Suezmax mileage remained relatively flat m-o-m

VLCC global mileage declined as a result of less cargoes originating in the East Coast Americas (USG and East Coast South America) arriving in Wider NE Asia in February, a voyage count decrease of 35% m-o-m.

➔ NE Asia sourcing less crude from the Americas is likely to continue, as lower than expected Saudi crude OSPs in March and April may prove attractive to Chinese buyers.

For Aframaxes and Suezmaxes, average mileage for Russian crude voyages increased 8.3% m-o-m, partially driven by more voyages from Baltic/Black Sea ports to China.

➔ However, moving forward, signs of lower employment for the fleet trading Russian crude will likely affect global laden mileage for the vessel classes