AUSTRALIAN bulks trades regular Pacific Basin has reported some normalisation of conditions in the third quarter of 2025 as dry bulk markets rallied but still sees unsettled conditions continuing.
The company’s vessel time-charter equivalent (TCE) earnings improved in Q3, as disruptions and inefficiencies combined with otherwise flat demand to drive tighter market conditions, PacBasin said in a statement to the HK Stock Exchange. In order to minimise geopolitically-driven disturbance it has shifted managemnent and a substantial part of its fleet from Hong Kong to Singapore.
“The dry bulk market is firm and, in the short term, shipping tariff actions can be expected to add to existing disruption to global shipping supply, likely leading to increased market freight rates and volatility, with complexity and uncertainty generating new opportunities. We are positive about the longer term, and we remain committed to our strategy of disciplined fleet renewal and growth, while maximising our optionality, performance and value creation for our shareholders,” it said.
Now that details of the USTR’s US port tariff regime, effective from 14 October and impacting Chinese-built, owned and operated ships, are clear PacBasin has taken prompt action to minimise the impact: “We have taken proactive steps within our control to protect our business and position Pacific Basin to continue serving our global customers freely and competitively across all safe ports and countries, including China and the United States.
“Our expanded Singaporean company structure will hold our Singapore-flagged vessels and serve as counterparty for all cargo and time-charter contracts. We have already transferred several vessels under a plan to transfer about half of our owned fleet to Singaporean ownership and flag. Only owned and chartered vessels held and/or contracted via this Singapore structure will be deployed on voyages calling at US ports while Section 301 remains in force.
“Our parent company, Pacific Basin Shipping Limited, which is incorporated and registered in Bermuda, remains unchanged. Our strategic leadership is located in Singapore. Overall and ultimate responsibility for Pacific Basin’s strategic leadership and commercial decision-making along with responsibility for technical management of our Singapore owned fleet are located in Singapore.
“Meanwhile, the rest of our global organisation is largely unaffected, and our day-to-day commercial and operational management remains spread across 11 global chartering and operations offices, including our Singapore office, to maintain close proximity to our cargo customers worldwide,” the company said.