Zhejiang Shipping Group Expands Capesize Fleet with New Acquisition
Zhejiang Shipping Group is making significant strides in the capesize segment of the shipping industry. The Chinese shipping company has acquired a second large bulker through its wholly owned subsidiary, Zhejiang Shipping Singapore. This acquisition follows the earlier purchase of its first Newcastlemax bulk carrier, the 2019-built ZH Dampier, which made headlines earlier this year.
The latest addition to Zhejiang Shipping’s fleet is the Densa Shark, a 2012-built vessel that has been renamed ZH Hangzhou. This bulker has a deadweight tonnage (dwt) of 179,200 and was sold for $32.5 million. The deal includes a six-month time charter at an undisclosed rate. According to VesselValue, the market value of the Hyundai Heavy-built bulker is estimated to be around $39 million. This acquisition marks a strategic move for Zhejiang Shipping as it continues to expand its presence in the larger dry bulk market.
Impact on the Market and Future Prospects
The acquisition of the ZH Hangzhou adds to Zhejiang Shipping’s growing fleet, which now consists of approximately 50 vessels, primarily medium-sized bulk carriers. This move signifies the company’s commitment to increasing its footprint in the dry bulk sector, particularly in the capesize category, which is known for transporting large quantities of commodities such as iron ore and coal.
For Marinsa Shipping, the Turkish owner of the Densa Shark, this transaction represents a strategic exit from the capesize market. Despite this exit, Marinsa Shipping continues to maintain a strong presence in the broader bulker sector, indicating that the company is not entirely withdrawing from the shipping industry but rather repositioning its assets.
As Zhejiang Shipping Group continues to expand its fleet, industry observers will be watching closely to see how this impacts the competitive landscape of the dry bulk market. The company’s recent acquisitions suggest a bullish outlook on the demand for larger bulk carriers, which could influence future market dynamics and pricing strategies within the sector.
