Bimco: Shipping stays clear of Chinese currency slash

It sounds dramatic with three devaluations in China in three days, but this will presumably have very little impact on shipping, notes Peter Sand, Chief Analyst at Bimco, in comments to ShippingWatch.

Photo: Rotterdam Havn

The Chinese government has performed three devaluations in a row of about 10 percent of the Chinese currency Yuan. This happens in the midst of growing concerns about whether the Chinese growth engine can keep up steam.

Intuitively, many people may think that this will put even more pressure on the struggling dry bulk industry as well as on tanker. A devaluation would typically entail increased exports out of China while imports into the country would slow down, because it would be more expensive to import commodities such as coal, crude oil and iron ore - all commodities of which China is a major consumer.

Already a subscriber? Log in.

Read the whole article

Get access for 14 days for free.
No credit card is needed, and you will not be automatically signed up for a paid subscription after the free trial.

  • Access all locked articles
  • Receive our daily newsletters
  • Access our app
An error has occured. Please try again later.

Get full access for you and your coworkers.

Start a free company trial today

More from ShippingWatch

Shipping in a safe position despite shaky world economy

Container carriers are facing a couple of difficult years, but otherwise the shipping industry looks set to do well despite dark clouds over the world economy, according to shipping analyst. ”Right now, most companies are making a lot of money.”

Less congestion makes dry bulk rates decline

Port congestion has eased, leading to a decrease in dry bulk rates. According to Clarksons, the development is not least due to low industrial production in China following Covid lockdowns.

MPA appoints new CEO

Quah Ley Hoon steps down as CEO of Maritime and Port Authority of Singapore at the beginning of September after around three and a half years on the post.

Further reading

Related articles

Latest news

See all jobs