Tariff turbulence poised to reshuffle VLGC trades
- VLGCs most likely to experience shift in trade patterns following China’s imposition of reciprocal 34% tariff on US imports
- Reshuffling could create longer voyages that would boost tonne-miles and support rates
- There is also short-term risk of cancellations that will push previously booked vessels back into the spot market, putting downward pressure on rates
VLGC are the most at-risk for disruption from China’s announcement of a retaliatory 34% tariff on US imports. While a reshuffling of trade flows could result in longer voyages for VLGCs, much remains unknown
