Current Market Reports
In June 2022, Marcon reported 49 push boats officially on the market for sale out of 796 tracked. This is down 9.26% and 46.15% from one and five years ago, respectively. The U.S. inland market has been stronger in 2022. Major drivers continue to include supply chain disruptions, the war in Ukraine, general inflationary pressures and high fuel prices. Overall Marcon has seen an increase in activity across several maritime sectors in the first half of 2022, with a limited supply of good second-hand vessels and barges being the primary factor influencing the number of sales.
In May, Marcon reported 409 tugs officially on the market for sale out of 5,198 tracked. This is down 13.89% from one year ago and 31.03% from five years ago. Marcon has closed ten sales to date in 2022 and we have several additional sales pending. This aligns with positive sentiment overall. Activity has nearly doubled compared to 2021 (our worst year ever) and it seems we have finally broken out of the Covid-19 overhang. Operating tugs and barges are in short supply both in the US and international market. Across the age spectrum, the lack of inventory on the second-hand market is our biggest challenge as brokers. The rise in diesel prices has refocused buyers on fuel efficiency, creating greater demand for lower BHP "right-sized" tugs. Inflation in general has driven up prices to maintain and reactivate tugs and barges, driving the prices of units with current certificates higher.
As of April, Marcon had 19 inland and 21 ocean/coastal tank barges available for sale out of 676 tracked. Rampant inflation in the commercial marine industry is causing all costs in the tank barge sector to rapidly rise. Oil prices have soared since the February 2022 Russian invasion of Ukraine and looks to continue. Newbuilding costs in the US are up roughly 40%-50% from November 2021 to March 2022, having an immediate effect on newbuilding market demand, while boosting the demand for working / certified tonnage in the US petroleum barging market. Currently the inland market has high utilization rates due to demand exceeding supply, whereas the coastal market is lagging with excess tonnage languishing on the market.
In our March 2022 offshore market report, Marcon reports 529 supply, tug supply, crew, fast supply and pilot boats officially on the market for sale out of 4,149 tracked worldwide. While we only completed 10 sales and charters in 2021, we ended first quarter 2022 with eight sales and several more pending. In the market, we see the number of OSVs available for sale decrease, while recently enquiries for vessels has increased. This has led to sellers' prices increasing, even between our initial and follow-up enquiries. The market is tight, with uncertainty still prevalent given the Ukrainian war, new COVID-19 variants and resulting impacts on the global economies.