2015 was an interesting year for the shipping industry. The dry bulk market had a very challenging 2015, with the Baltic Dry Index hitting new all-time lows. Based on various reports, the outlook for 2016 is not very positive, either. Yet, the tanker market had a very strong year—the best since 2008— largely because of the drop in oil prices. On the other hand, the low oil prices had a negative effect on the offshore sector, causing charter rates to fall and many vessels to go into layup. These trends are likely to continue into 2016.

There have also been significant legislative and regulatory developments: the crude export ban was lifted; Cuba sanctions were eased, thus creating new opportunities for travel and transport; the .01% sulfur requirements went into effect in the North American and Caribbean Emissions Control Areas; and ballast water challenges continue. The ballast water conundrum will become even more of a conundrum when IMO’s Ballast Water Management Convention goes into effect, very likely in late 2016.