China want to control Iron Ore Freight Market

Corfimation of 30 more Valemax 400K DWT ($85m per ship) bulkers shows China intends to enforce control of the iron ore freight market. For the next ten years there is no chance of a spike in profits for capesize owners like in 2005. 30 Valemax mega bulkers will be build at Chinese domestic yards to carry iron ore from Brazil to Chinese mills. Order total $2.55bn. China’s long term strategic aim of carry ing 50% of its seaborne trade on its own vessels.