Spot rates rise after a gentle start to 2025
After a weaker-than-expected start to the year, the very large gas carrier (VLGC) market experienced a significant recovery in March. Spot rates, which had dropped below $30,000 per day earlier in the year, have now risen to around $40,000 per day.
The U.S. export infrastructure is on the verge of a significant expansion
According to Kristian Sørensen, CEO of BW LPG, the increase in rates is attributed to seasonal fluctuations in U.S. exports and an anticipated expansion of export capacity. Over the next two years, the U.S. LPG export infrastructure is expected to grow by 25%, thereby increasing supply and boosting transport demand. Despite market volatility, Sørensen foresees a strengthening of rates, supported by strong market fundamentals.
Source: Finansavisen