Dynamar: Reefer capacity to fall due to sulphur regulations

Shipping consultant Dynamar has predicted that a lot of old conventional reefer ships will be scrapped to comply with upcoming sulphur regulations while investment in the reefer container segment has increased.

As a result of the reduction in trade capacity, Dynamar expects that both conventional reefer operators and container ship operators will receive a boost, for a time at least, which will offset new higher fuel costs.

The cost of fuel makes up a larger part of the costs for conventional reefer operators which is why Dynamar expects operators to scrap “fuel-hungry” old ships or even exit the industry all together.