On February 25, in the A-share market, China Merchants Energy Shipping (601872) achieved three limit-up sessions in four days, while COSCO SHIPPING Development (601866), COSCO SHIPPING Energy Transportation (600026), and China Merchants Nanjing Tanker (601975) also posted significant gains. The surge is driven by global tanker freight rates climbing to their highest level in nearly six years. Clarksons' shipping market report during the Spring Festival holiday indicated that the tanker market remains robust, with average spot market daily earnings for VLCCs (Very Large Crude Carriers) rising 24% month-on-month, reaching the highest level since April 2020. Changes in global crude oil supply trends, increasing demand for compliant crude oil trade, and an unprecedented VLCC acquisition spree by South Korea's Sinokor are expected to significantly impact the VLCC market.
The tanker market has started the year strongly. VLCCs are large crude oil carriers with a deadweight tonnage of 200,000 to 300,000 tons. Industry sources involved in tanker leasing stated that spot freight rates for compliant VLCCs have risen substantially, with daily rentals exceeding approximately $170,000 per day. One-year time-charter rates have hit a record high of $100,000 per day, while Suezmax tanker daily rentals are around $95,000 per day. As the number of compliant VLCCs decreases and capacity tightens, tanker rental prices are expected to continue rising.
Clarksons' data showed that average daily earnings for VLCCs in the spot market increased 24% month-on-month to $146,385 per day, the highest since April 2020. Persistently high time-charter rates continue to incentivize shipowners to lock in forward charters. A surge in time-charter market transactions occurred in early 2026, with shipowners rushing to secure high rates before the Spring Festival. Contracts ranged from short-term three-month agreements to long-term five-year deals, reflecting broad confidence in rental levels across all durations.
Maritime services provider Veson Nautical noted that the global tanker market began 2026 on a strong footing, benefiting from high earnings, tightening supply, and renewed investor confidence. Its latest weekly shipping market report indicated rising asset prices for both secondhand and newbuild tankers, particularly with increased activity and valuations for older vessels.
South Korean shipowner Sinokor's recent large-scale acquisition of VLCC capacity through secondhand purchases and charters is increasingly influencing market dynamics. VesselsValue data showed that of the 45 VLCC transactions completed by January 26, Sinokor acquired 35 vessels, accounting for 78% of total secondhand VLCC trades. Market analysts described the move as "almost draining all available market liquidity in an already supply-constrained sector." Following this acquisition, Sinokor's global VLCC ownership ranking is expected to jump from 12th to the top three, placing it alongside traditional giants like Saudi Arabia's Bahri and China Merchants Energy Shipping's (601872) wholly-owned subsidiary China VLCC.
According to Greek tanker owner OET, Sinokor now controls or operates nearly 150 VLCCs, representing 17% of total VLCC capacity and 37% of independent mainstream capacity. Founder Securities (601901) believes that increasing industry concentration and tightening availability of compliant VLCC capacity will enhance pricing power for leading shipowners, benefiting freight rate elasticity amid supply-demand mismatches and geopolitical disruptions. The firm remains optimistic about the upward trend in the compliant VLCC market, expecting 2026 freight rate benchmarks to exceed expectations.
Huachuang Securities' transportation research team stated that the VLCC market is experiencing near-unprecedented bullish sentiment. They are positive about the current upturn in the tanker market, citing ongoing supply constraints and unrealized demand catalysts, with ample room for freight rate increases. China Merchants Energy Shipping (601872) noted in its investor relations activity records that VLCC and other tanker freight rate volatility in 2026 is expected to be more pronounced than in 2025, with various structural issues and short-term supply-demand imbalances potentially causing significant spot rate fluctuations. The company anticipates improved tanker market conditions this year compared to 2025, driven by structural growth in compliant market demand and potential effective capacity consolidation.
China Merchants Energy Shipping (601872) also mentioned that rising geopolitical risks, longer-haul Asian crude oil imports, reduced crude imports by India in some regions, and increased oil reserve demand may push freight rates higher. The company added that, while focusing on market operations, it may dispose of a small number of older vessels and seek charter-in capacity supplements. Last year, it jointly time-chartered one VLCC with an oil company. The company has secured orders for eight VLCCs (five owned and three long-term charters), scheduled for delivery between 2027 and 2028, with older tanker replacements progressing as planned.
Regarding demand, China Merchants Energy Shipping (601872) expects global crude oil consumption and reserve demand to remain stable this year, with overall demand likely to increase. Seaborne crude oil demand typically outpaces crude oil demand growth. On the supply side, tight conditions persist, with slow growth in actual available effective capacity. Clarksons forecasts global crude tanker capacity demand to grow 1% year-on-year in 2026, while compliant crude tanker capacity demand is expected to increase 3% to 5%. VLCC compliant trade demand could potentially rise by 6%, against a VLCC capacity growth rate of only 2.8%, maintaining a tight supply-demand balance and high market景气度.
Huachuang Securities also noted that the share of non-compliant crude oil had squeezed compliant market demand in recent years, but this trend has reversed due to intensified sanctions enforcement, blocking non-compliant crude export channels and gradually increasing compliant crude shares. A Veson Nautical representative stated that market expectations suggest some VLCC sellers will reinvest proceeds in Asian shipyards for newbuild orders, potentially spilling over into the shipbuilding market.
Since the beginning of 2026, *ST Songfa (603268) has announced several significant日常经营 contracts. Incomplete statistics show that, as of February 25, its subsidiary Hengli Shipbuilding has signed 38 construction contracts for 306,000-ton VLCCs. *ST Songfa (603268) stated that the normal execution of these contracts is expected to positively impact future performance, enhancing medium-to-long-term market competitiveness and profitability, and further consolidating its market advantage. In its 2025 annual results预盈 announcement, the company projected revenue of 200 billion to 220 billion yuan.