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Brexit could have a positive impact on the tanker market: Poten

While the long term impact of Brexit on shipping and the wider economy is unclear brokers Poten believe it could have a positive impact on the tanker market, particularly product tankers.

Marcus Hand, Editor

June 25, 2016

1 Min Read
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“One area where ‘Brexit’ could have an impact on the tanker market is the movement of oil products between the UK and EU countries,” Poten said its weekly tanker report.

Britain’s crude exports to the EU have been falling over the last 10 years have been falling standing at 7.8m tonnes in the first quarter of 2005, but down to 5.1m tonnes in the first quarter of 2016.

On the flip side clean products, particularly diesel and gasoline have become a larger portion of the UK’s exports. “Looking at the total picture and highlighting the importance of the EU as a trading partner, in 2015 the UK sent about 66% of its crude oil and petroleum product exports to countries in the EU, with only 34% going to other countries,” Poten said.

On the import side of the equation in Q1 the UK imported 2.2m tonnes of distillates from the EU in Q1 2016, representing 62% of petroleum imports from the EU. In 2015 the EU supplied 46% of petroleum products imported by the UK.

“Given the short-haul nature of the UK – EU crude oil and product trades, any changes in trade-flows as a result of ‘Brexit’ could be positive for ton- mile demand, in particular for product carriers,” the report concluded.

About the Author

Marcus Hand

Editor

Marcus Hand is the editor of Seatrade Maritime News and a dedicated maritime journalist with over two decades of experience covering the shipping industry in Asia.

Marcus is also an experienced industry commentator and has chaired many conferences and round tables. Before joining Seatrade at the beginning of 2010, Marcus worked for the shipping industry journal Lloyd's List for a decade and before that the Singapore Business Times covering shipping and aviation.

In November 2022, Marcus was announced as a member of the Board of Advisors to the Singapore Journal of Maritime Talent and Technology (SJMTT) to help bring together thought leadership around the key areas of talent and technology.

Marcus is the founder of the Seatrade Maritime Podcast that delivers commentary, opinions and conversations on shipping's most important topics.

Conferences & Webinars

Marcus Hand regularly moderates at international maritime events. Below you’ll find a list of selected past conferences and webinars.

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