The bulk carrier market concluded its week from December 19-26, 2025 with remarkable transactional activity that underscored operators' faith in select segments despite wider volatility. Capesize vessels continued to outshone smaller classes due to iron ore cargoes while fleet expansion and shifting trade patterns provided challenges.
Yang Ming Secures Four Handymax Carriers
Yang Ming Marine Transport's dry-bulk subsidiary, Kuang Ming Shipping, approved on December 24 the acquisition of four Handymax bulk carriers valued between NT$4.922 billion and NT$5.430 billion (approximately $156 million to $173 million), according to company disclosure.
Kuang Ming's expansion in response to increasing demand for mid-sized tonnage vessels comes amid steady market conditions for mid-sized tonnage. Handymax vessels continue to play an essential role in regional trades involving grains and minor bulks where flexibility trumps scale. Furthermore, this acquisition aligns with Kuang Ming's ongoing effort to modernize assets due to intensifying environmental regulations.
Genco Shipping Strengthens Fleet with Newcastlemax Duo
Genco Shipping & Trading, the largest U.S.-based dry bulk owner, recently agreed to purchase two 2020-built 208,000 dwt scrubber-fitted Newcastlemax vessels for $145.5 million each, scheduled for delivery in Q1 2026 via cash reserves and credit facilities.
John C. Wobensmith, Genco CEO, noted the vessels' high specifications as ideal for iron ore and coal routes. This acquisition continued Genco's trend of purchasing vessels in larger segments where rates have held firm. Genco's focus on eco-compliant tonnage positions it well for compliance with FuelEU Maritime requirements in 2018.
Capesize Rates Increase Amid Divergence Between Segments
Mid-December data revealed a stark distinction in dry bulk freight markets, with capesize earnings making gains across Atlantic and Pacific basins. Meanwhile, the Baltic Dry Index saw some slight decreases on December 15 but continued its ascent due to tight vessel supply constraints and predictable miner cargoes.
Analysts from the Baltic Exchange noted capesizes as the only segment with momentum due to iron ore flows and construction demand. Meanwhile, panamax, supramax, and handysize rates softened due to higher fleet growth, sanctions-related disruptions, uneven grain activity, charterers secured marginal decreases on key routes, etc.
Geopolitical factors, particularly Russian oil sanctions, indirectly increased ton-mile demand through longer hauls; however, coal export forecasts indicate decreasing numbers through 2026 due to energy transition.
ClassNK Receives Approved Identity Protocol Certification for Multi-Fuel Bulker Design
ClassNK recently granted Oshima Shipbuilding an Approval in Principle (AiP) certificate by ClassNK for their bulk carrier design suitable for transport of ammonia, methanol, LNG and onboard carbon capture systems (OCCS). This certification represents an important step toward decarbonization efforts within the sector.
Shipyards' shift toward future-proof vessels as IMO net-zero frameworks develop is evident from this design, incorporating dual fuel and alternative fuel readiness, which could reduce lifecycle emissions while appealing to owners facing EU ETS costs.
Pacific Basin Orders Conventional Newbuilds
Pacific Basin recently ordered four conventionally fuelled dry bulk carriers as an operational certainty measure rather than to speculate on green tech investments. They cite delays in IMO's net-zero framework adoption as justification for this decision.
Contrasting with multi-fuel designs, single fuel designs better reflect near-term market dynamics where fleet utilization remains high. Newbuild contracting overall hit a five-year low in 2025; dry bulk orders stood at 25 million dwt through November, reducing orderbook to 11% of fleet.
Western Bulk Re-Enters Ownership for Second Time
Western Bulk of Oslo acquired a minority stake in the 2020 Kamsarmax CSSC Shi Jia Zhuang (to be renamed Western Egda) built by CSSC Shi Jia Zhuang with Norwegian partners such as A/S J Ludwig Mowinckels Rederi and NRP Asset Management, following completion of her five-year survey.
Western Bulk's return as an owner indicates optimism for kamsarmax trades despite Q3 market softness reported by peers such as Star Bulk.
Expanded Market Context
U.S.-China trade commitments of 12 million tonnes of soybeans by late 2025 could increase trans-Pacific bulk demand, according to BIMCO analysis. Meanwhile, newbuilding constraints and ageing fleet challenges continue, while digital tools and wind propulsion could provide efficiency gains.
Red Sea issues, port congestion and 600 new bulkers scheduled to join the fleet by 2026 could contribute to increased volatility, although scrapping may help alleviate supply pressures.