Business

BIMCO: Eurozone manufacturing PMI indicates drop to 92-month low in March

As the economy braces itself for decline, government stimulus packages will do little for shipping; safeguarding the free flow of cargo is key to protecting the maritime industry.

Published

6 years ago

March 26, 2020

Admin

International Shipping Association BIMCO on Wednesday (25 March) published an article discussing possible outcomes for the shipping industry from the slowdown in manufacturing due to the COVID-19 pandemic:

As countries world-wide implement far-reaching measures in an attempt to contain the coronavirus (COVID-19), the global economy is starting to slow down significantly. The crisis is prompting flashbacks to the global financial crisis of 2008-09. Although the nature of this crisis is different, the economic impact is just as significant when looking at the flash Purchasing Managers’ Index (PMI) readings for selected European nations.

Global shipping thrives on industrial demand and consumer spending, and at this point in time, the PMI readings tell us that a storm is approaching, and demand is in for a sharp decline.

The flash readings of the Eurozone’s manufacturing PMI indicate a drop to 44.8 index points in March, a 92-month low, and down from 49.2 points in February. Germany’s manufacturing PMI is estimated at 45.7 index points in March, a drop of 2.3 points from February, while France’s manufacturing PMI is expected to drop to 42.9 index points, an 86-month low.

The pattern looks the same across the Eurozone. While the negative effects on the manufacturing sector seem limited to this point in time, the real depth of the crisis will become apparent over the coming months, as such a development comes with a delay to the manufacturing sectors.

More instantly, the services sector has taken a massive beating in just one month. The drastic slowdown has completely dwarfed the impact on the service sector experienced back in 2008-09.

Right now, supply chain disruptions have dented manufacturing, unemployment is rising fast, and the outlook is increasingly negative, partly owing to fewer new orders and a diminishing backlog of orders. Germany, for one, seems to be heading straight for a recession, just like the rest of the world will eventually do, according to an IMF statement from 23 March.

As one shock evaporates, another appears

The supply chain disruptions in the European countries stem from the wide-spread quarantines of China in February. As China slowly returns to normal, the supply chain disruptions will gradually fade and goods will start flowing again, but only until it is replaced by a negative demand shock, as the rest of the world takes its turn to battle the coronavirus.

BIMCO expects that container volumes out of China, containing intermediate and finished goods, will start to pick up in the short-term, but could stagnate or outright decline once the fallout from the coronavirus spread really tightens its grip on the advanced economies in the western world.

Shipping serves as the backbone of global trade, and while international trade of goods must continue amid quarantines, the lower demand for shipping could have unforeseen consequences for many companies.

While central banks and governments rush to implement stimulus packages to keep the economies afloat, it will bring little immediate relief to the shipping markets. There are no government packages which can offset faltering demand for shipping. Only when governments and authorities safeguard the free flow of cargo, the damage done to the shipping industry can be somewhat reduced.

Thus, the current objective must be to keep the free flow of cargo moving, not only to secure a global supply of food and goods throughout the crisis, but also to limit the impact to the shipping industry.

Photo credit and source: BIMCO
Published: 26 March, 2020

Mass Flowmeter

MFM-equipped CPN barge first listed under Hong Kong quality bunker scheme

Chimbusco Pan Nation’s bunker barge “Zhong Ran 23” has become the first vessel in Hong Kong listed on Marine Department’s official List of Quality Bunker Vessels, under a newly-launched scheme.

Published

5 minutes ago

June 17, 2026

Admin

MFM-equipped CPN barge first listed under Hong Kong quality bunker scheme

Hong Kong-based marine fuel supplier Chimbusco Pan Nation (CPN) on Tuesday (16 June) announced that its bunker barge Zhong Ran 23 has become the first vessel in Hong Kong listed on the Marine Department’s official List of Quality Bunker Vessels.

The list under the Quality Bunker Operator Scheme launched on 3 June.

“The Scheme is a voluntary initiative designed to raise the standard of bunkering accuracy, transparency, and service quality in Hong Kong,” CPN said in a social media post.

“To be listed, a bunker vessel must have its Mass Flow Meter (MFM) system independently certified under ISO 22192, the international benchmark for mass flow metering in bunkering operations.”

CPN added it has operated the MFM system across our fleet of fuel oil barges since 2015.

Manifold Times previously reported Hong Kong’s Marine Department (MD) launching the Quality Bunker Operator Scheme to encourage bunker operators to install and use mass flow meter systems (MFM systems) on their bunker vessels.

MD said the scheme aims to enhance Hong Kong’s bunkering service quality and the competitiveness of Hong Kong ports, thereby further consolidating Hong Kong’s position as an international maritime centre and a major bunkering port.

Under the Scheme, bunker operators of traditional maritime fuel and biodiesel that install and use MFM systems on their bunker vessels, with the MFM systems inspected and certified by an accredited body in accordance with the International Organization for Standardization’s ISO 22192 Standard or equivalent requirements, can apply to the MD for inclusion in the scheme’s “List of Quality Bunker Vessels”, provided they meet the relevant technical and operational requirements.

Photo credit: Chimbusco Pan Nation
Published: 17 June, 2026

Financial Result

Bunker Holding exceeds FY2025/26 forecast despite geopolitical headwinds

Bunker Holding delivered a gross profit of USD 424 million and a profit before tax of USD 73 million, exceeding the Group’s expectations for the year.

Published

8 minutes ago

June 17, 2026

Admin

Bunker Holding on Tuesday (16 June) said it delivered a strong performance in the financial year 2025/2026 despite continued uncertainty across global markets.

The year was shaped by geopolitical developments, evolving trade flows, periods of heightened market volatility, and strong competition.

These conditions were further amplified by developments in the Middle East, which added complexity across global energy markets and shipping routes.

In response, Bunker Holding focused on getting closer to customers and understanding the different challenges faced across shipping segments. This enabled faster decision-making, greater agility under pressure, and allowed the Group to respond effectively while continuing to support customers reliably.

Against this backdrop, Bunker Holding delivered a gross profit of USD 424 million and a profit before tax of USD 73 million, exceeding the Group’s expectations for the year. Equity increased to USD 342 million.

Revenue amounted to USD 13.1 billion, a decrease of 4% compared to the previous year. The decline primarily reflected lower average oil prices during the financial year, despite periods of heightened market volatility and stronger pricing towards the end of the period.

“This year, we have taken important steps to strengthen Bunker Holding for the future. We have simplified parts of the organisation, brought teams closer together, and made the changes needed to make us more focused and efficient. Our markets remained challenging and unpredictable, but I am pleased with both the result we have delivered and the progress we have made,” said Peder Møller, CEO of Bunker Holding.

Looking ahead to 2026/27, Bunker Holding anticipates intense market competition alongside continued investments in low- and zero-carbon fuel projects and partnerships.

Changes to the Board of Directors

Bunker Holding said the company is strengthening its Board of Directors with the appointment of several new members and a new Chairman of the Board.

Nina Østergaard, CEO and co-owner of USTC, will assume the role of Chairman of the Board, while Henrik Andersen, Group President and CEO of Vestas Wind Systems A/S, will join as Vice Chairman. Tina Revsbech, CEO of Maersk Tankers, and Kenneth Steengaard, Chairman of the Board of Global Risk Management, will join the Board as new members.

At the same time, current Chairman Klaus Nyborg and Board member Peter Frederiksen will step down from the Board.

Nina Østergaard, incoming Chairman of the Board, said: “I am excited to take on the role as Chairman of Bunker Holding at an important time in the company’s development. Bunker Holding has a strong market position, a clear strategic direction, and significant opportunities ahead. I am also pleased to welcome Henrik Andersen, Tina Revsbech, and Kenneth Steengaard to the Board. They each bring valuable experience and perspectives, and I am particularly pleased that we have attracted such strong international profiles as Henrik and Tina, whose leadership experience from Vestas and Maersk Tankers will further strengthen the Board and support the company’s continued development.”

The addition of Kenneth Steengaard moves Bunker Holding closer to its sister-company Global Risk Management and adds important insight into risk management.

Bunker Holding founder and co-owner Torben Østergaard-Nielsen thanked the departing Board members for their contributions to the company.

Photo credit: Bunker Holding
Published: 17 June, 2026

Business

Oilmar establishes Board of Directors amid international expansion

Three directors are Chief Executive Officer Yusif Mammadov, Chief Finance Officer Nain Shafi, and Legal, Credit and Compliance Head Taira Shikhiyeva.

Published

10 minutes ago

June 17, 2026

Admin

Oilmar formalises Board of Directors amid international expansion

UAE-based marine fuel and petroleum products trader Oilmar on Tuesday (16 June) announced the formal establishment of its Board of Directors, marking an important milestone in the company’s evolution.

The three directors are Chief Executive Officer Yusif Mammadov, Chief Finance Officer Nain Shafi, and Legal, Credit and Compliance Head Taira Shikhiyeva.

The formation of the Board was first communicated during Oilmar’s Q1 2026 Townhall as part of a wider governance enhancement initiative and has now been formally implemented.

The Board has been established to provide strategic direction, oversee risk management and governance matters, and support the company’s continued growth across its global operations.

“At inception, the Board comprises three Directors with extensive international experience across the energy, maritime, shipping, and commodity trading sectors. Together, they bring a wealth of industry knowledge and strategic expertise to support the company’s continued growth and development,” the company said.

“The Board is expected to be further strengthened through the appointment of additional Executive and Non-Executive Directors as the company continues to expand its international footprint.”

As part of the enhanced governance framework, strategic direction, risk appetite, and key business objectives will be determined at Board level, while regional management teams will remain responsible for execution within their respective markets. This structure strengthens accountability, promotes effective decision-making, and supports the Company’s long-term growth and succession objectives.

CEO Yusif Mammadov, said: “The establishment of the Board marks the next stage in Oilmar’s development as a global energy and marine fuels business. It creates a governance framework that will support our future growth, strengthen oversight across the organisation, and ensure that our strategic decisions are guided by long-term value creation and responsible risk management.”

Photo credit: Oilmar
Published: 17 June, 2026