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Ultramax & Handysize Market Dispatch: Navigating Global Currents

By Iakovos (Jack) Archontakis

Senior Maritime Strategy Consultant - Chartering Executive & TMC Shipping  Commercial Director

South Atlantic – Ultramax

March tonnage remains comfortable, though prompt supply is thin, keeping the spotlight on South Brazil–Argentina voyages. North Brazil demand is steady but less aggressive than last week, supporting firm yet stable rates. Brazil and the wider ECSA basin continue to anchor the Atlantic market, though sentiment has taken a more measured course.

Eastbound fixtures are hovering in the mid-$16,000s plus $650,000 GBB, with momentum steady rather than surging. Voyages into the West Mediterranean maintain around $27,000/day, reflecting week-on-week firmness, though gains have moderated. Owners’ positional advantage keeps prompt rates supported, yet incoming ballasters from the USG may swell mid-March availability, weighing on sentiment if fresh cargo doesn’t appear.

South Atlantic – Handy

The week dawned slowly — Carnival in Brazil, Chinese New Year, and the start of Ramadan tempered activity. Still, the underlying tone remained firm as owners nudged rate expectations higher amid tight ECSA tonnage.

By midweek, stronger bids surfaced, establishing solid benchmarks. Recalada–WCSA on larger Handies now exceeds $30,000 aps; South Atlantic TA trades in the mid-$20,000s, and North Brazil mirrors those levels. A 39,000 dwt fixed at $27,000 aps Recalada for grains to the West Med underscores the firming trend. With the USG gaining strength, easing pressure is minimal, leaving sentiment constructive as the week closes with upward momentum into the next fixing window.

US Gulf – Ultramax

The USG experienced a sharp correction this week. A surge of fresh and inward ballasters raised prompt tonnage, with the 10-day count hitting 33 vessels, while most charterers shifted to March laycans. Cargo enquiry slowed, and voyages were quiet, pushing rates downward.

Fronthaul runs dropped to ~$28,000/day SW Pass, with transatlantic voyages dipping below $30,000. Levels into EC Mexico, previously at $35,000, fell sharply; sub-$20,000 fixtures for SW Pass–Atlantic Colombia were reported. Rising bunker prices offered some resistance, but overall sentiment turned bearish. Forward paper remains firm, suggesting this is a natural correction after February’s exceptional strength. The key question: where will the USG market find its floor?

US Gulf – Handy

Handy tonnage started strong, buoyed by tight supply and focused transatlantic cargo demand. Several premium fixtures reset benchmarks upward.

Momentum eased toward week’s end as tonnage rebuilt and urgent stems were covered. Owners showed selective flexibility, with slight rate softening; yet overall levels remain elevated. Transatlantic business now sits in the low $20,000s, highlighted by a 36,000 dwt fixing at $21,500 aps Savannah for pellets to ARAG. Inter-Caribbean cargoes are locking in the $22,000s aps SW Pass. With a healthy cargo list and a 20-day position count of 50 vessels, downside pressure appears limited.

West Coast South America – Ultramax

Concentrate demand along WCSA remains limited. Regional activity hinges on potential salt cargoes to the US East Coast, with snowfall in February restricting operations. Broader support from NOPAC or ECSA is not expected until later in the year. Rates are stable, but upside is muted as prompt enquiry remains scarce.

West Coast South America – Handy

The Handy segment shows owners contemplating ballast to ECSA for February employment as regional demand softens. NOPAC inflows into WCSA are quiet, and second-half February fixtures are expected to settle at softer levels. Tonnage scarcity keeps the market under cautious watch, with sentiment leaning toward moderation.

Continent – Ultramax

Activity remained subdued. Tight early-week tonnage eased slightly, but the cargo list barely changed, leaving rates largely flat. Seasonal ice-class requirements at Russian ports are redirecting vessels to mainstream ARAG cargoes, adding pressure. Scrap runs held at ~$15,000/day, while eco Ultramax eastbound fronthaul rumours sit in the low $20,000s. Overall, the tonnage balance shows slight oversupply as USG pull softens.

Continent – Handy

The Continent market stays steady, recent gains mostly preserved. Limited fresh momentum and softening underlying tone mean forward fixing faces resistance. Spot deals included a 32,000 dwt at $16,000 dop Rostock for Douala grains and scrap voyages to the East Med at ~$15,000. Larger vessels to West Africa are around $18,000 aps; Baltic–East Med scrap trades $21,000–22,000. Market watchers will need fresh cargo next week to sustain levels.

Mediterranean / Black Sea – Ultramax

The week opened cautiously, then found equilibrium by midweek. USG corrections weighed on sentiment, but bid–offer spreads narrowed. Intra-Med and short-haul trades remain subdued, fixing in the low teens. Clinker from West Africa achieves ~$14,000; USG/ECSA positioning ~$10,000 aps; eastbound Canakkale runs $16,000–17,000 aps. Liquidity is low, especially East Med, but some early March West Med stems are still expected.

Mediterranean / Black Sea – Handy

Handy demand is sporadic, with tonnage absorbed gradually. Activity is controlled rather than competitive, with owners comfortable holding ground. Recent fixtures include a 34,000 dwt in the low teens aps West Med for a Black Sea run and a 32,000 dwt at $10,000 aps Sfax for the Continent. Short-period fixes are reported around $13,000 for 4–6 months; longer periods at $17,000 for SW Pass delivery with Atlantic redelivery.

Middle East Gulf / Indian Ocean / South Africa – Ultramax

A bullish week, with South Atlantic momentum driving South African gains. Indian Ocean activity rose, supported by South African cargoes. Owners chase parity with competing regions; tonnage tightens, early March stems appear, and AG/WCI grain activity underpins the market. Reported fixtures include $22,500 + $225k GBB PE–China and $20,000 + $200k RBCT–WCI. Overall sentiment remains constructive heading into March.

Middle East Gulf / Indian Ocean / South Africa – Handy

Handies in South Africa saw robust activity, with March demand encouraging. Fixtures closed at five-digit levels, reflecting firm market conditions. Owners remain bullish, with some vessels still considering ballast to ECSA.

Far East / SE Asia – Ultramax

In the North, Lunar New Year slowed activity, yet short-period rates held at ~$17,000/day. NOPAC rounds were mid-$14,000s, with limited enquiry. South Asia remained quiet, a Supramax reportedly fixed in the $13,000s Indo–India. Pacific markets stayed subdued with last-done NOPAC–SE Asia in the mid/high $12,000s. West Australia stems pushed bids to ~$15,000 aps Singapore; strong Ultramaxes are $16,500–17,000 for short periods.

Far East / SE Asia – Handy

Markets were quiet due to holidays, with limited fresh enquiry. Southbound trips for 38,000 dwt vessels are $7,000–8,000/day. Quick SE Asia trips report: 28,000 dwt $6,500–7,000/day, 32,000 dwt $7,500–8,500/day, 38,000 dwt $9,500–10,500/day. Early March stems for MEG, WCI, the Continent, and SE Asia are emerging.

Australia – Ultramax

Few 1H March stems remain open from the west; charterers are in no rush. Most vessels are positioned along the south and east coasts for mid-March, expected to seek cover next week. West Australian stems see abundant ballasters from East Coast India and SE Asia, limiting rate upside.

SE Asia / Australia – Handy

The Handy market across Southeast Asia and Australia kicked off the week with gentle lulls, gradually stabilizing as owners and charterers navigated a delicate cargo-to-tonnage balance. While equilibrium is approaching, smaller Handies—particularly those outside Australian waters—still face headwinds in securing their desired rates. Southeast Asia remains relatively quiet, with fresh enquiries sparse, yet the steady stream of Australian cargoes for early- to mid-March continues to anchor the market. The return of Chinese operators after the extended Lunar New Year adds a cautious optimism to owner sentiment, with clearer market direction anticipated by the close of the week or early next.

Looking forward, sentiment is optimistic, with owners and charterers bracing for heightened activity and a firm push for March stems, as the Handy sector charts a course toward more decisive movement in the weeks ahead.

Period Market

The Atlantic period market for Supramax and Ultramax remains firm, underpinned by USG and ECSA demand. Handysize trades sideways, with little change in sentiment or levels.

Legal Disclaimer :

This report is provided solely for general informational purposes and does not constitute investment or commercial advice. The information herein is based on sources believed to be reliable but is not guaranteed for accuracy or completeness. Any actions taken based on this content are the sole responsibility of the reader.