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Breakbulk September 2022

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Breakbulk & Project Cargo Breakbulk Fleet Update September 2022 | The Journal of Commerce 7 ALTHOUGH MULTIPURPOSE/HEAVY-LIFT (MPV/HL) carriers are seeing strong demand and earning better rates than they have in years, newbuilding vessel orders remain scarce, and industry executives say tonnage could be in short supply within a few years. Even beyond infl ated newbuilding costs and a shortage of shipyard slots for MPV construction, carrier executives and analysts say lack of transparency, di culty accessing fi nancing, uncer- tainty about coming regulations, and still-painful remnants of the MPV ship- ping crash that began in 2008–09 are holding back newbuilding orders in the sector. Players with deep pockets — or access to the deep pockets of others — have a strong advantage, but even so, making multi-million-dollar bets on new ships is a risky proposition in this opaque shipping segment, particularly in a constantly changing regulatory environment. Investors skittish on ordering MPV/HL newbuildings despite strong cargo demand By Janet Nodar Average prices for a new 12,500-dwt geared MPV have ballooned from $19.5 million in 2015 to $31.5 million in 2022. dship Carriers

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