LNG

The LNG freight market softened this week, with declines across most routes and a mixed performance in the period market. Weaker transpacific activity and limited fresh demand weighed on earnings, although isolated Atlantic resilience offered brief support.

On the BLNG1 Australia–Japan route, spot rates for 174k cbm vessels declined $1,400, ending at $20,400/day, while the 160k cbm segment fell $1,200 to $12,400/day.

In the Atlantic, performance was uneven. BLNG2 US Gulf–Continent saw a minimal recovery for 174k cbm vessels, rising $100 to $32,000/day. However, 160k cbm vessels declined $1,400, settling at $14,800/day.

The BLNG3 route US Gulf–Japan continued to soften, with 174k cbm earnings dropping $1,200 to $37,900/day, and 160k cbm units falling $1,900 to $19,000/day. The drop underscores a cautious outlook for longer-haul transpacific trades amid reduced fixture volumes and rising tonnage availability.

In the period market, six-month time charter rates strengthened by $3,550 as we move into full winter utilisation, reaching $39,000/day. Conversely, one-year TCs slipped $475 to $38,700/day, while three-year rates fell $450 to $56,100/day, suggesting that forward fundamentals are being reassessed amid shifting sentiment.

 

LPG

The LPG market experienced a decline this week, as the previous rally driven by tariff-related disruption gave way to correction. Rates across all routes fell, with sentiment cooling amid rate hikes, a closed US arb and easing vessel supply.

On the BLPG1 Ras Tanura–Chiba route, rates declined by $1.67 to settle at $68.33/mt, with daily TCE earnings easing by $1,581 to $53,138/day. The softening is primarily due to increased tonnage supply in the East.

In the Atlantic, the BLPG2 Houston–Flushing route dropped $2.25 to close at $60.00/mt, while TCE earnings fell by $3,163, ending the week at $61,589/day.

The BLPG3 Houston–Chiba route experienced the steepest decline, losing $4.00 to finish at $113.33/mt. TCE earnings fell by $2,878, settling at $45,614/day. This correction suggests the arbitrage window is narrowing.