Shift to Worsen Dry Bulk Crisis?
Karishma Vaswani, a Business Correspondent for Asia has stated that the Chinese economy has been in a state of rebalance and transition for some years which corresponds with IHS projections that the dry bulk industry could be in for one of the toughest years in its history, according to the BBC.
IHS said: "It would be safe to presume that the market's failed expectations were the main problem for dry bulk shipping.
"There were a large number of orders in 2012 and 2013, booked on the premise that there would be a continuation of China's commodities super-cycle driven by China's economic boom. This is simply no longer the case."
Since the bulk industry has been in a state of decline, with wider implications across the global economy, many bulk carriers have struggled to stay afloat.
However, some companies have seen a profit in recent months, such as product tanker Torm who recently announced a more than US$120 million profit amid what is considered the toughest period in the history of dry bulk.