Dry bulk freight markets rallied this week buyers extending coverage ahead of China’s Golden Week festival in 1-8 October. The rally came partly from an uptick in cargo demand but mostly from vessel supply disruptions stemming from the U.S. fees against Chinese vessels. This is causing Chinese dry-bulk vessel owners to avoid business to and from U.S. ports and tightening the availability of non-Chinese vessels. There is also an unusually large number of vessels loading from Argentina, which suggests China is avoiding not just U.S. soybeans but other products as well. The dynamics of port fees for Chinese vessels and China’s move to avoid booking U.S. ag products will have significant impacts on shipping rates for U.S. firms.&nbs...
From WPI Consulting
Weighing in on strategic realignment
WPI’s team was retained by the governing board of a U.S. industry organization to review a decision, reached by vote, to invest significant assets into the development and management of an export trading company. WPI’s team conducted a formal review of this decision and concluded that the current level of market saturation would limit the benefits of the investment. Based on WPI’s analysis and recommended actions, the board subsequently reversed its decision and undertook a strategic planning effort to identify more impactful investments. On behalf of numerous clients, WPI has not only assisted in identifying strategic paths but also advised their implementation.