Business
JLC China Bunker Market Monthly Report (October 2022)
China’s bonded bunker fuel sales maintained downtrend in October, as overall demand in bonded bunker fuel market slackened further due to epidemic.

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1 year agoon
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Beijing-based commodity market information provider JLC Network Technology Co. recently shared its JLC China Bunker monthly report for October 2022 with Manifold Times through an exclusive arrangement:
Bunker Fuel Demand
China’s bonded bunker fuel sales still drop in Oct
China’s bonded bunker fuel sales maintained a downtrend in October, as overall demand in the bonded bunker fuel market slackened further due to the continued negative impact of the epidemic.At the same time, some Chinese ports lost their price advantage compared with neighboring ones, as their bonded bunker fuel prices were high amid slightly tight supply.
The country recorded about 1.59 million mt of bonded bunker fuel sales in October 2022, a drop of 4.22%from a month earlier, JLC’s data shows.
Specifically, the sales by Chimbusco and Sinopec Zhoushan slid to 560,000 mt and 650,000 mt, while those by SinoBunker and China ChangJiang Bunker (Sinopec) climbed to 70,000 mt and 50,000 mt respectively. Suppliers with local licenses sold 260,000 mt of bonded bunker fuel in the month.
China’s September bonded bunker fuel exports slipped on month as export margins were not so good, but the exports were still relatively high.
The country tallied about 2.01 million mt of bonded bunker fuel exports in September, slightly down by 0.95%from the previous month, according to the data from General Administration of Customs of PRC (GACC). The dip was mainly attributed to a further monthly decline in LSFO production. Chinese refiners were less keen to produce LSFO in the month, as China had released a large quota on oil product exports and diesel export margins appeared to be more considerable compared with LSFO. The country’s LSFO output (of Chinese refiners with export quotas) totaled about 1.24 million mt in September, down by 8.01%month on month, JLC’s data shows.
Among the exports were about 1.90 million mt of heavy bunker fuel and 111,600 mt of light marine gas oil (MGO), accounting for 94.44% and 5.56% of the total respectively. The bonded bunker fuel exports by state-owned enterprises were around 1.68 million mt in the month, occupying 83.8%, while those by local independent enterprises climbed to 325,500 mt, making up 16.2%.
On a year-on-year comparison, however, the exports skyrocketed by 29.89%, GACC data shows. Underlying the jump was much larger output of LSFO and the release of this year’s fourth and fifth batches of quota on LSFO exports in September.


Domestic bunker fuel demand shrinks in October
Domestic-trade heavy bunker fuel demand shrank in October, a traditionally strong month, mainly because of a new wave of epidemic outbreaks across China.
The demand for heavy bunker fuel settled at 390,000 mt in the month, a decline of 30,000 mt or 7.14%fromSeptember, JLC’s data indicates. Downstream buyers showed resistance to relatively high bunker fuel prices when the negative effects of the epidemic persisted.
Light bunker fuel demand contracted in October as well, as prices of marine gas oil (MGO) remained relatively lofty and buyers still based purchases on rigid demand to avoid the risk of prices falling back. Demand for light bunker fuel slipped to 145,000 mt in the month, down by 5,000 mt or 3.33% month on month, JLC’s data shows.
Bunker Fuel Supply
China expands bonded bunker fuel imports in September
China boosted its bonded bunker fuel imports in September, as the supply of bonded resources tightened with domestic low-sulfur fuel oil (LSFO) production falling.
The country imported about 427,900 mt of bonded bunker fuel in September 2022, a significant rally of 27.77% month on month, according to data from the General Administration of Customs of PRC (GACC).
Chinese refiners cut LSFO production in the month because it became less profitable for them to produce or export LSFO. The country’s LSFO output (of Chinese refiners with export quotas) totaled about 1.24 million mt in September, down by 8.01% month on month, JLC’s data shows. Although imported low-sulfur resources still lacked price advantages, market participants expanded their imports given the decline in the supply of homemade resources.
The UAE still topped all suppliers by exporting 278,000 mt of bonded bunker fuel to China in the month, accounting for 65% of China’s total bonded bunker fuel imports. The imports from Singapore and SouthKorea amounted to 79,500 mt and 61,400 mt, occupying 19% and 14% of the total respectively. Malaysia dropped to the fourth position, with imports from the country making up 2%.
On a year-on-year comparison, the imports slumped by 25.94% in September, mainly as a result of a yearly surge in domestic LSFO output.

Domestic blended bunker fuel supply tightens in October
Chinese blenders supplied a total of 420,000 mt of heavy bunker fuel in October, a fallback of 40,000 mt or 9.52% from the previous month, JLC’s data indicates.
Domestic blended heavy bunker fuel supply continued to tighten in the month, which was mainly attributed to a decline in blendstock supply. The supply of the major blendstocks including low-sulfur asphalt, coal-based diesel and light coal tar decreased due to tighter virus-related restrictions. In addition, blenders reduced their bunker fuel supply as cargo delivery was not so smooth during the 20th National Congress of the Communist Party of China, which also contributed to the drop in domestic blended bunker fuel supply.
Coking margins remained fair but resources flowing into the bunker field were limited as refiners still gave priority to diesel of which prices stayed steep. The supply of domestic marine gas oil (MGO) slipped to 170,000 mt in October, down by 10,000 mt or 5.56% from September, the data shows.

Bunker Prices, Profits



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JLC Network Technology Co., Ltd is recognized as the leading information provider in China. We specialized in providing the transparent, high-value, authoritative market intelligence and professional analysis in commodity market. Our expertise covers oil, gas, coal, chemical, plastic, rubber, fertilizer and metal industry, etc.
JLC China Bunker Fuel Market Monthly Report is published by JLC Network Technology Co., Ltd every month on China bunker market, demand, supply, margin, freight index, forecast and so on. The report provides full-scale & concise insight into China bunker oil market.
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Related: JLC China Bunker Market Monthly Report (September 2022)
Related: JLC China Bunker Market Monthly Report (August 2022)
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Note: China-based commodity market information provider JLC Technology has been providing Singapore bunkering publication Manifold Times China bunker volume data since 2020. Data from that period is available here.
Photo credit: JLC Network Technology
Published: 11 November, 2022
Shipping Corridor
Singapore, LA and Long Beach unveil Partnership Strategy for Pacific Ocean green and digital shipping corridor
Ports and C40 have commissioned a study to analyse trade flows and vessel traffic between the three locations as well as estimate quantity of near-zero/zero-emission bunker fuels required for this traffic.

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7 hours agoon
December 7, 2023By
Admin
The Maritime and Port Authority of Singapore (MPA), Port of Los Angeles (POLA) and Port of Long Beach (POLB) on Wednesday (6 December) unveiled a Partnership Strategy for a green and digital shipping corridor (GDSC) across the Pacific Ocean at the 28th United Nations Climate Change Conference.
The release of the Partnership Strategy follows the signing of a memorandum of understanding (MoU) by MPA, POLA and POLB during Singapore Maritime Week in April 2023. The MoU formalised the partnership, which is supported by C40 Cities, with the aim of establishing a GDSC connecting the three global hub ports.
The scope of cooperation through the Partnership Strategy and success indicators specified within build upon the MoU signed in April 2023 and reaffirm the corridor partners’ commitment to drive global action to digitalise and decarbonise the shipping industry and improve efficiencies.
The GDSC Strategy outlines steps to accelerate decarbonisation of the maritime shipping industry by enabling first mover organisations to achieve net-zero greenhouse gas emissions by the earliest feasible date, in support of the goals defined by the 2023 International Maritime Organization’s Strategy on Reduction of GHG Emissions from Ships. The ports and C40 will work together and with value-chain stakeholders from the fuel and maritime sectors to:
● Coordinate decarbonisation efforts: GDSC partners will help to catalyse and coordinate efforts to enable ships calling at the Port of Singapore, Port of Los Angeles and Port of Long Beach to achieve net-zero greenhouse gas emissions by the earliest feasible date.
● Build consensus on green shipping best practices: GDSC partners will seek to establish consensus around green shipping best practices and standards.
● Improve access to and adoption of technology and digital solutions: To enhance supply chain efficiency, resilience and decarbonisation while reducing costs and improving reliability, GDSC partners will work to develop and deploy innovative technology and digital solutions.
● Leverage networks: GDSC partners will work with stakeholders involved in other green shipping initiatives, including those established by the three ports and other parties, to scale the uptake of zero and near-zero emission technologies, fuels and energy sources.
To achieve these aims, a partnership structure and governance mechanism have been developed to provide clarity on the roles and responsibilities of GDSC partners. The strategy also outlines processes for onboarding new participants, financial management, confidentiality and decision-making.
As next steps, the ports and C40 have commissioned a study to analyse trade flows and vessel traffic between Singapore, Los Angeles and Long Beach. The study will estimate the quantity of near-zero and zero-emission fuels required for this traffic, and guide implementation by identifying opportunities for collaboration to advance the development of the GDSC.
The founding partners will now engage stakeholders from across the shipping and fuel supply value chains that share the GDSC's vision and aims, with the intention of onboarding new corridor participants in 2024.
Mr Teo Eng Dih, Chief Executive of MPA, said: “We are excited to see this partnership grow from strength to strength with the Green and Digital Shipping Corridor Partnership Strategy. We have embarked on evaluating the various digital solutions and zero and near-zero fuels options that could be trialled along the route between Singapore and the San Pedro Bay Port Complex. We look forward to the support of all the corridor stakeholders over the coming months to conduct trials and potentially scale them for wider adoption.”
"This Partnership Strategy document is the foundation upon which we'll build the future of maritime shipping,” Port of Los Angeles Executive Director Gene Seroka said. “Our success requires the resolve and dedication of the three partnering ports as well as our industry partners. Together, we will model the collaboration necessary to achieve our climate and efficiency goals."
“Over the last two decades, we've learned that collaboration between maritime industry partners is the key to making meaningful progress in reducing emissions and cleaning the air,”Port of Long Beach CEO Mario Cordero said. “This trans-Pacific green shipping corridor takes this concept global. The strategies we develop here can be used as a roadmap by a larger network of seaports and supply chain companies to invest in programs, technologies, software and infrastructure to decarbonize international trade everywhere.”
C40 Executive Director Mark Watts, said: "C40 is proud to support our port partners in delivering this Partnership Strategy. The advancement of this Green and Digital Shipping Corridor brings the shipping sector one step closer to a 1.5°C-aligned trajectory. Green shipping is only achievable through collaboration because no one stakeholder can afford to move unless they know others are likely to follow. That’s where C40 is delighted to help, bringing our network of world-leading cities, which include most of the world’s largest and most forward-looking ports."
Note: The Partnership Strategy document can be viewed here.
Photo credit: Maritime and Port Authority of Singapore
Published: 7 December, 2023
Business
Liberia-flagged bulker “Eleen Armonia” placed under Sheriff’s arrest
Ship was added to list of vessels under Sheriff’s arrest in Singapore’s court system and it is currently held at Eastern Bunkering Anchorage; arrest was made on behalf of Allen & Gledhill LLP.

Published
7 hours agoon
December 7, 2023By
Admin
Liberia-flagged bulk carrier Eleen Armonia was arrested in Singapore waters on Monday (4 December).
The 55,522 DWT vessel was added to the list of vessels under Sheriff’s arrest in Singapore’s court system.
According to the list, the vessel was arrested at 12.25pm and the arresting solicitor listed was law firm Allen & Gledhill LLP. The ship is currently held at the Eastern Bunkering Anchorage.
No details regarding the reason behind the arrest were provided in the list.
Photo credit: Manifold Times
Published: 7 December, 2023
Biofuel
PIL and DP World embark on biofuel bunkering trials at Jebel Ali Port
Both parties will collaborate on trial shipments between Jebel Ali Port in Dubai and destinations within PIL’s network in near term which will include shipments on PIL’s vessels powered by a biofuel blend.

Published
7 hours agoon
December 7, 2023By
Admin
Singapore-based container operator Pacific International Lines (PIL) on Wednesday (6 December) said it signed a Memorandum of Understanding (MOU) with DP World, which handles around 10% of the world’s container trade, to jointly develop green solutions to decarbonise global supply chains.
In the near term, both parties will collaborate on trial shipments between Jebel Ali Port in Dubai and destinations within PIL’s network, with initiatives to reduce the shipments’ GHG footprint. This will include shipments on PIL’s vessels powered by a biofuel blend, biofuel bunkering, and deploying container handling equipment at terminals that run on renewable energy to handle the shipments.
Over the longer term, the companies will explore expanding this partnership to include other ports within DP World’s global network, and using other alternative bunker fuels, such as e-LNG, green methanol or green ammonia in PIL’s vessel operations and bunkering.
It was signed by Mr Lars Kastrup, Chief Executive Officer, PIL and Mr Tiemen Meester, Group Chief Operating Officer, Ports & Terminals, DP World, at the UN Climate Change Conference (COP28) in Dubai, United Arab Emirates (UAE), conveying their commitment to combating climate change and the collective goal of achieving net zero greenhouse gas (GHG) emissions by 2050 or earlier.
Mr Lars Kastrup, Chief Executive Officer, PIL said: “Supply chain resilience and sustainability is the bedrock of global trade growth. With the renewed commitment by the International Maritime Organisation (IMO) this year to take a significant step forward to decarbonise the shipping industry, we at PIL are responding actively to IMO’s call and working to invest in and implement green solutions to achieve our target of achieving net zero by 2050. In this regard, we are pleased to have DP World joining us on our sustainability journey. Capitalising on the combined strengths of our two organisations, we can both augment our sustainability efforts as we co-develop solutions to decarbonise our supply chains.”
Mr Tiemen Meester, Group Chief Operating Officer, Ports & Terminals, DP World, said: “Decarbonisation is the single biggest concern for DP World outside the constraints and the physical movement of goods. So, we are transforming our business and the impact global trade has on the climate. We have already committed to becoming carbon-neutral by 2040 and achieving net-zero carbon emissions by 2050. But we must explore partnerships with companies that share our ambitions and technology to be deployed right now for quicker results.”
Photo credit: DP World
Published: 7 December, 2023

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