Host Newsroom
July 17, 2018
Commodities
Rio Tinto Posts Jump in Iron Ore Output, Flags Stronger 2018
MELBOURNE (Reuters) - Global miner Rio Tinto said on Tuesday that its second-quarter iron ore shipments from Australia rose 14 percent and indicated its annual production would be at the upper end of its guidance. Read more
US Corn Inspected for Export Down 17% On Week, Up 8.4% On Year: USDA
Houston — The amount of US corn inspected for export in the week ended July 16 was at 1.217 million MT, 17% lower week on week compared with 1.467 million MT inspected in the previous week, Department of Agriculture data showed Monday. Read more
Copper Falls After Weak Chinese Data
Copper prices slip along with most other metals in London after data showed that China's economy expanded at a slower pace in the second quarter, pointing to weaker demand. Read more
Ivory Coast Weather Boosts Early Stages of Cocoa Main Crop
ABIDJAN, July 16 (Reuters) - Abundant rainfall in most of Ivory Coast's cocoa regions last week is helping flowers develop into small pods and bodes well for the October-to-March main crop, farmers said on Monday. Read more
CBOT Trends - Wheat Down 3-5 Cents, Corn and Soy Steady-Down 1
CHICAGO, July 16 (Reuters) - Following are U.S. trade expectations for the resumption of grain and soy complex trading at the Chicago Board of Trade at 8:30 a.m. CDT (1330 GMT) on Monday. Read more
Global Trade War to Be a Boon for Black Sea Grain
Trade conflict between the United States and China could further boost already booming grain and oilseed exports from the Black Sea region, traders and analysts said. Read more
Freight Logistics
U.S. International Trade Commission Votes Affirmatively in Final Stage of Trade Case Against Imports of Chinese Stainless Steel Flanges
On July 13, the U.S. International Trade Commission (ITC) voted affirmatively in the final stage of its antidumping duty (AD) investigation, finding that imports of stainless steel flanges from China have materially injured the U.S. flange industry. All five Commissioners voted in the affirmative. Read more
Baltic Exchange: Rates Easing in the Larger Classes, but Aframaxes Return to Higher Ground
Charterers have not been under pressure in the ME Gulf as they have been drip-feeding enquiry into the market and this has led to rates easing, with CNOOC able to fix 270,000mt to China at WS 47 in contrast to WS 48/50 region last week. Read more
Another Headwind for the U.S. Economy: Not Enough Truck Drivers
A growing shortage of truck drivers may be producing a new problem: faster inflation. Read more
Japan Companies Board the Belt and Road Train
DUISBURG, Germany -- Japanese companies are jumping on the bandwagon of China's Belt and Road Initiative in search of fresh business opportunities. Read more
European Ports are Optimistic but Fear Trade War Could Disrupt Shipping and Cargo Traffic
Despite the optimism generally prevalent among most European ports, which have benefited in the past from the tailwinds accompanying world trade, representatives of these ports express concern over the possible impact of the U.S. steel and aluminum tariffs on Trans-Atlantic trade and shipping. Read more
July 16, 2018
Commodities
Copper Clocks Fifth Weekly Loss
Copper clocked up a fifth weekly loss as trade tensions between the US and China rumbled on, while aluminium hit a three-month low ahead of a summit between US President Donald Trump and Russian President Vladimir Putin. Read more
Australian Whitehaven's Apr-Jun Thermal Coal Sales Fall 5% On Year
Sydney — Australian coal miner Whitehaven's thermal coal sales fell 5% on the year in the April-June quarter to 2.95 million mt due to issues at its Narrabri mine and port congestion, the company said in its quarterly results released Monday. Read more
China's Jun Crude Steel Output Increases 8% On Year at 80.20 Mil MT
Singapore — China's crude steel output in June reached 80.2 million metric tons, up 7.5% year on year, data released by the National Bureau of Statistics on July 16 showed. The annual growth rate decelerated from the 8.9% rise in May's crude output. However, the daily crude output in June reached a new record high of 2.67 million mt/day, up 2.2% from May's 2.6 million mt/d, which was the previous record high. Read more
Top-Grade Iron Ore May Spike To $100
High-grade iron ore may spike to $US100 a metric tonne as China intensifies a clampdown on pollution by restraining industrial activity, adding further momentum to a trend that's reshaped the global market in recent years and driven buyers in Asia's top economy seek out better-quality material. Read more
Grains-Soybeans Near 10-Year Low, Wheat Drops After Strong Rally
SINGAPORE, July 16 (Reuters) - Chicago soybean futures were largely unchanged on Monday with the market trading near last session's decade-low on concerns Washington's trade war will curb U.S. exports. Read more
Europe's Blistering Heatwave is Ruining This Year's Harvest
[FRANKFURT] Looking out over his parched fields south of Berlin, dairy and grains farmer Thomas Gaebert is wishing for rains to save his crops after relentless hot weather. Read more
Freight Logistics
Dry Bulk Market: Things are Looking Perky
A shaky start to the week in Asia where rates on the key West Australia/China run lost almost 90 cents dropping to $8.30. However, ongoing interest from the miners and operators saw levels regain ground with the expectation of over $9.00 on the cards, with some suggesting timecharter business was done, which equated to $9.10. Read more
Indian Shipping Companies Headed for Troubled Waters
A proposed move by the Centre to abolish the Right of First Refusal (ROFR) clause for transportation of Indian cargo by Indian-flagged vessels — the only benefit available to Indian shipping companies — is threatening the existence of the domestic shipping industry Read more
Cargill Inc. Raises Standards for Ocean-Shipping Industry
Cargill Inc., known for its land-based agriculture, is also a dominant presence on the world’s waterways and is hoping to use its power position to clean up the ocean-shipping industry. Read more
Fednav Takes Ownership of 60th Bulk Carrier
Fednav Limited takes ownership of a 60th bulk carrier, an important milestone in Fednav’s history. This vessel, the MV Federal Dee, is the latest in a series of 22 box-hold handysize bulk carriers of 34,500 DWT ordered from Oshima Shipyard of Japan since 2013. Read more
Bohai Rim Region Leads 12% Rise in Cosco Shipping Ports June Volumes
Cosco Shipping Ports (CSP) saw June overall throughput rise 11.5% to 8.24m teu led by strong performances in the Bohai Rim ports and its overseas terminals, which saw growth of 19.0% and 40.5% respectively. Read more
OOCL Could Spring a Surprise in Blockchain
While it is acknowledged that blockchain technology has much potential to be useful for the shipping industry, so far nothing much substantive has been done to develop it. Read more
July 12, 2018
Commodities
China’s Tangshan to Restrict Steel Output This Month
China’s largest steelmaking city Tangshan has told industrial enterprises in the city to reduce emissions until the end of July, which will likely lead to production cuts. Read more
Iran’s Steel Output Up by 22%
Diversification in production sector strengthens steel industry and secures the country’s economy significantly. Read more
Copper Price Plunges to 1-Year Low
The price of copper sank on Wednesday, losing more than 4% in New York to $2.7170 or $5,990 a tonne on the Comex market, its lowest level since July 20 last year. Read more
The Shadowy Chinese Fund at the Heart of the Copper Rout: Andy Home
Copper prices are in free fall as the United States dials up the trade tension with China. Read more
China's Iron Ore Up Despite Tariff Jitters, Steel Rises on Curbs
Chinese steel futures rose on Wednesday after the country’s biggest steelmaking city, Tangshan, said it would deepen output curbs over the summer, raising concerns of tight supplies in the market. Read more
Freight Logistics
Switzerland Files Complaint Against Trump Aluminium Tariffs at WTO
Yet another country has taken the Trump administration’s blanket aluminium and steel tariffs to the World Trade Organization this week, with the Swiss government announcing yesterday that it too has filed a request for consultation with the United States government at the global trade body. Read more
EU Urged to Draft Law on Child Labor, Deforestation in Coffee and Cocoa Areas as Voluntary Curbs Fail
The European Union must set mandatory rules to tackle child labor and deforestation in the cocoa and coffee sectors, after years of voluntary action has failed to spur widespread change, stakeholders and policymakers said on Wednesday. Read more
China’s Dalian Exchange to Raise Coking Coal Delivery Standards
China’s Dalian Commodity Exchange said on Wednesday it will raise the quality standards for delivery of coking coal , a key fuel for steelmaking, in order to meet market demand for high-grade industrial ingredients. Read more
Climate Change Threat Sends Coffee Roaster on Bean Hunt
Coffee lovers beware. Climate change is threatening supplies of high-quality beans with one Japanese coffee house hunting for the perfect bean to withstand the warmer conditions. Read more
June Traded Thermal Coal Derivatives Fall 26% on Year to 70.96 mil mt: LEBA
Thermal coal derivatives traded in June stood at 70.96 mil mt, which was marginally up from May (less than 1%) and down 26.2% on the year, according to data released Tuesday from the London Energy Brokers Association. Read more
China Steel Futures Hit 10-mth High as Pollution Crackdown Intensifies
China’s steel rebar futures hit their highest in 10 months on Thursday amid potential tight supply as the government intensifies efforts to clean up the environment. Read more
July 11, 2018
Commodities
Global Trade War to Be a Boon for Black Sea Grain
MOSCOW/BEIJING (Reuters) - Trade conflict between the United States and China could further boost already booming grain and oilseed exports from the Black Sea region, traders and analysts said. Read more
Wet Weather Slows Indonesian Coal Exports, Supports Prices
JAKARTA (Reuters) - Wetter than normal weather in recent months has slowed coal shipments from one of the main producing regions in Indonesia, the world’s top thermal coal exporter, according to weather data, brokers and analysts, supporting prices of the fuel. Read more
Private Exporters Sell 113,000 Mt Of US Corn, Cancel 152,00 Mt Of US Sorghum: USDA
Houston — Private exporters on Monday reported selling 113,000 mt of US corn in one day for delivery to Egypt, the US Department of Agriculture said Tuesday. Read more
Malaysian Bauxite Miners Want Ban Lifted
The Star reported that operators are hopeful that a moratorium placed on bauxite mining in the state for the past two years will be lifted. They are keen to meet the new minister to restart mining activities. Read more
Iron Ore Markets Are Looking Pretty Dull
Iron ore markets are looking pretty dull with small movements remaining the dominant theme on Tuesday. Read more
METALS-Copper Slides To 1-Year Low, Zinc Sinks in Broad Selloff
MANILA, July 11 (Reuters) - Copper prices slumped to their weakest level in a year and zinc fell to 13-month lows amid a broad selloff on Wednesday after the Trump administration said it would slap 10 percent tariffs on an extra $200 billion worth of Chinese imports. Read more
Freight Logistics
Higher Container Equipment Prices to Squeeze Leasing Rate Returns
Container equipment rental rates and cash investment returns remain weak, despite last year’s recovery. But an earlier rise in container prices which lifted values to their highest level in five years will continue to put a dampener on returns, according to Drewry’s latest Container Census & Leasing annual review and forecast report, published this month. Read more
10 Billion USD Spent on Newbuilds in H1 2018
The enthusiasm for newbuild orders across most shipping markets has started to wane after over 10 billion dollars were committed in the first quarter of 2018. The total committed to new deliveries is now the lowest since the start of 2016. Read more
Brazilian Trucker Strike Still Weighs on Country's AG Sector
WASHINGTON, D.C., U.S. — An 11-day strike by hundreds of thousands of Brazil’s nearly 2 million truck drivers that began on May 21 continues to present transportation and logistics challenges for the country’s agricultural sector, according to a July 3 Global Agricultural Information Network (GAIN) report from the Foreign Agricultural Service of the U.S. Department of Agriculture. Read more
Dry Bulk FFA: Capesize Market Under Pressure After Recent Rally
A very slow day yesterday for the cape futures market as the physical market came under pressure in the East. The C5 fixed at $9.20, $9.15 and $9.00 before unconfirmed reports of $8.75 and $8.65 hit the airwaves. Read more
Feeder Operators Lose Out as Maersk Cuts Costs Via Exclusive Deal with BG Freight
As part of the cost-saving measures announced after Maersk Group’s first quarter $239m loss, its container arm has taken the knife to its feeder service network and reverted to a policy of commercial feedering. Read mor
Trade Tariffs Could Push Shipping to the Edge
Trade tariffs between the U.S., China and Europe add to the problems confronting the global shipping industry, which was already struggling this year with weak demand and high fuel prices. Read more
July 10, 2018
Commodities
Beer Versus Aluminium; The U.S. Battle-Lines Are Drawn Again: Andy Home
The price of aluminium paid by consumers in the United States has risen sharply this year. Read more
IGC Lowers Grains Outlook For 2018-19
The International Grains Council (IGC) lowered its forecast for total grains production in 2018-19 to 2.077 billion tonnes, down from 2.089 billion tonnes in late May, and down from 2.09 billion tonnes forecast for 2017-18. Read more
Metal Markets Are Preparing for a New World Disorder
Donald Trump’s attempts to re-balance global trade have already sent the metals world into a tizzy. As countries respond to U.S. tariffs and sanctions, the disarray is set to increase. Read more
Soybeans Edge Up, USDA Crop Condition Report Caps Gains
U.S. soybeans edged higher on Tuesday, following losses of more 2 percent in the previous session, although gains were checked as the U.S. Department of Agriculture said the condition of the crop was above market expectations. Read more
EU Wheat Eases As Traders Wait On Harvest
Euronext wheat fell for a second straight session, easing from last week’s one-month high as investors waited to see the extent of weather damage to harvests in France and elsewhere in Europe. Read more
Freight Logistics
Base Metals Bottoming Out Despite Trade War Concerns
The base metals index of the London Metal Exchange declined for seven days in a row to extend its rout to the fourth straight week. A key indicator, however, suggests a rebound. Read more
Iron Ore Traders Ignored The Optimism In Chinese Financial Markets
Iron ore spot markets meandered through the first day of the trading week, showing little reaction to the burst of buying support seen in Chinese stocks, yuan and commodity futures. Read more
Steel Tariffs Are Needed Because China Won't Trade Fairly
In recent weeks, there has been much debate about President Trump’s use of tariffs and quotas to address unfair steel imports. Read more
China Is Swallowing a Bitter Pill And Trying To Cut Its Coal Use
The Chinese government is swallowing a bitter pill, forcing both its local provinces and the industries that are domiciled there to reduce their pollution levels. Read more
Though Malaysian Bauxite Ban Extended Indefinitely, Pahang Miners Hold Out Hope For Prompt Resolution
Although the moratorium on bauxite mining in place since early 2016 in Malaysia has been extended indefinitely, bauxite miners in Pahang continue to remain hopeful that operations will begin again in the very near future. Read more
Decline in Indian Power Plant Coal Imports Signals Distress
The decline in coal imports by India’s power plants points to distress in an increasing number of generators and a domestic supply shortfall. Read more
July 9, 2018
Commodities
Iron ore prices remain choppy
Analysts put the resilient performance down to optimism over the outlook for Chinese steel prices, pushing aside concerns about the potential for an escalating trade conflict between China and the United States. Read more
Rising coal prices lifting Australia’s export revenues but investors staying away
Newcastle coal prices have risen more than 40 per cent in a year to be at their highest levels for seven years but the industry is becoming increasingly isolated as traditional sources of investment funds dry up. Read more
Shanghai steel firm as China capacity cuts outweigh tariff woes
Chinese steel prices recovered from early losses to trade firmer on Friday as Beijing’s efforts to cut production capacity as part of its pollution fight have countered concerns over U.S. tariffs on $34 billion of Chinese goods that have just begun. Read more
U.S. Soybean Prices Crumble as Trade War Sparks Brazil Rally
Soybean prices in the U.S. and Brazil, the nations that account for roughly 80 percent of global exports, have taken drastically different paths thanks to Donald Trump’s trade war. Read more
Turkey’s crude steel production rises in first 5 months
Turkey’s crude steel production rose 4.3 percent on an annual basis in the first five months of the year, reaching 15.9 million tons, the Turkish Steel Producers’ Association (TCUD) reported Saturday. Read more
Copper rebounds from one-year low on weak dollar
London copper snapped back sharply on Monday from near one-year lows hit in the session, as a weak dollar forced short holders to cover positions even amid simmering trade war tension. Read more
Freight Logistics
Queue at Australian PWCS coal terminals falls on week to 11 vessels
Port Waratah Coal Services terminals at Newcastle port in eastern Australia had 11 ships waiting offshore Sunday, compared with 18 a week ago, the Hunter Valley Coal Chain Coordinator said in its weekly report, Monday. Read more
Japan's steelmakers expect delays in product deliveries on heavy rains in western Japan
Product deliveries by most of Japan's steel producers from their plants in western Japan are expected to be delayed after heavy rains late last week temporarily halted production at some facilities, the mills said Monday. Read more
Shanghai steel rebar inches up on falling stockpiles, focus shifts from trade war
China’s construction steel rebar futures rose on Monday on falling inventories and potential stimulus plans, with focus shifting back to market fundamentals and away from the festering Sino-U.S. trade war. Read more
Ghana Cocoa Platform to boost cocoa production
COCOBOD has created a new platform, the Ghana Cocoa Platform to incorporate the activities and views of all stakeholders in the production, processing and export of cocoa beans. Read more
Normality returns to New Day bauxite plant
NORMALITY has been restored at New Day Aluminum (Jamaica) Limited since Friday night's order from the Industrial Disputes Tribunal (IDT) for hourly paid workers to end a week-long go-slow. Read more
Fall In Alumina Prices Prompts Chalco To Cut Refining Capacity By 770k MT in Shanxi
State-run smelter Aluminum Corp of China (Chalco) announced to the Hong Kong stock exchange that high bauxite prices and low alumina prices have forced it to curtail alumina production on certain production lines in Shanxi. Read more
July 6, 2018
Commodities
Steel Shipments to Europe Face Limits Prompted by Trump Tariff
The European Union is poised to cap its imports of steel in the latest evidence of the domino effect caused by U.S. President Donald Trump’s protectionism. Read more
Chicago Soybeans Hit Contract Low on US China Trade War
U.S. new-crop soybean prices dropped to a contract-low on Friday, falling for a fifth session as top importer China prepared to impose additional tariffs on U.S. shipments amid a trade war between the two nations. Read more
Russian 12.5% Protein Wheat Up to $198/Mt on More Feed Wheat Than Expected
Premiums for high protein wheat such as 12.5% protein wheat from Russia to lower grades are steadily climbing as initial harvest results produce more feed wheat than expected. Read more
US Steel Plate Market Awaits September Pricing Amid Expectations of an Increase
US plate buyers are waiting for mills to open September order books amid expectations of a price increase, market sources said Thursday. Read more
Mechel Prolongs Coal Contract with China’s Baosteel Resources Until 2019
Mechel PAO, one of the leading Russian mining and metals companies, reports prolonging its cooperation agreement with Baosteel Resources which is part of China Baowu Steel, China’s largest steelmaking group. Read more
U.S. Soybean Cargo Races to Beat China Tariff
A ship carrying U.S. soybeans is steaming toward northern China in a race to beat a 25 percent tariff. Read more
Freight Logistics
Steelmaking Raw Materials Hit Multi-Week Lows in China on Trade Woes
Prices of steelmaking raw materials dropped to multi-week lows on Thursday as a festering trade row between China and the United States kept risk appetite low. Read more
Thermal Coal Spot Prices to Average $98/Mt in 2018: NAB
The National Australia Bank has forecast thermal coal spot prices to average $98/mt FOB Newcastle basis 6,000 kcal/kg NAR in 2018, up by 12% from last year, it said Thursday in its Minerals and Energy Outlook. Read more
Cocoa Prices Surge as Farmers Flee Conflict in Cameroon
Cocoa prices in Cameroon are surging as farmers in the biggest producing regions flee an escalating conflict between government forces and a movement that wants independence for English-speaking territories. Read more
Nigeria to Offer 12.7 Bln Naira Mining Contract to Eight Firms
Nigeria will offer a 12.7 billion naira ($41.6 million) mining contract to eight companies in exploration and consultancy, its junior mining minister said on Wednesday, adding both foreign and local firms were encouraged to participate. Read more
China's Chalco to Cut Alumina Output by 770,000 T as Prices Fall
Aluminum Corp of China, known as Chalco, is to cut alumina output on some of its production lines in the northern Chinese province of Shanxi because of high bauxite prices and low alumina prices. Read more