Trafigura said it could switch more of its crude oil tankers to carry clean products if sluggish market conditions persist according to a Bloomberg interview.

• Andrea Olivi, head of wet freight said “From what we see in the market today, I would expect this number to potentially increase,” he said.
• About 12% of Trafigura’s fleet of VLCCs and 20% of its Suezmaxes can carry those fuels on top of shipping denser crude.
• The move was driven in recent months by weakness out of China while extended production cuts by OPEC mean there is less oil needing to be moved.
• Vortexa has recorded record levels of tankers making the switch from dirty to clean in recent months recording over 37 VLCC’s and Suezmax vessles.
• The record number of VLCCs loading diesel from the Middle East in August capped demand for LRs. (see chart)

Source: Vortexa