Crude ton-miles began the year trending below the five-year average, but since VLCC exports began to rise in June, growth has been rapid. While the order of the major VLCC routes has been consistent compared with previous years, there have been upheavals in the Suezmax and Aframax markets following the Russian war in Ukraine. Crude tanker demand is on course to finish the year on a high, but the prospects for next year are less rosy.
European road fuels demand to perform better than the last two, pandemic-plagued, years with European governments shying away from re-introducing movement restrictions this fall. However, diesel demand is not going to benefit much from this, as manufacturing activity across Europe is going through its worst month since the start of the pandemic.
India’s LNG imports are expected to fall back to 2019 levels this year, with arrivals in November dropping to the lowest level since April 2020.