Platts launches Red Sea-East China liquid chemicals freight assessment

Platts, part of S&P Global Commodity Insights, has launched two new liquid chemical freight assessments from the Middle East, basis the Red Sea, to East China, effective Feb. 21.

The changes are in line with a two-tier market structure observed in freight from the Red Sea to East China and Arabian Gulf to East China following higher shipping costs seen for transit through the Bab al-Mandab Strait.

Platts confirmed it would launch the new assessments on Jan. 22 in the subscriber note published here: https://www.spglobal.com/commodity-insights/en/pricing-benchmarks/our-methodology/subscriber-notes/012225-platts-to-launch-new-red-sea-east-china-liquid-chemicals-freight-assessment (opens in a new tab).

Details of the new assessment are as follows:

The basis ports in the Red Sea include Yanbu and Rabigh. The basis ports in East China include Zhangjiagang, Shanghai, Jiangyin, Nantong, Ningbo, Nanjing, Zhenjiang.

The existing Middle East-East China assessments continue to reflect liquid chemicals freight rates from the Middle East, basis Arabian Gulf, to East China. Platts now spells out the basis of these existing assessments to clearly differentiate them from the new assessments.

Basis ports in the Arabian Gulf include Al Jubail (Saudi Arabia), Messai'eed(Qatar), Kuwait(Kuwait), Sohar (Oman) and Jebel Ali (UAE).

The chemicals freight assessments out of Middle East will follow the Platts India publication calendar, taking into consideration price information gathered up to the close of the assessment process at 4:30 pm Singapore time.

The assessments appear on PCA 643, 644 and Asia PetrochemicalScan and on Platts Connect.

Details of ports considered in the assessments will be available in the Specifications Guide Global Freight https://www.spglobal.com/commodityinsights/PlattsContent/_assets/_files/en/our-methodology/methodology-specifications/global_freight.pdf), (opens in a new tab)while the outdated notes on the fixed pages will be removed.

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