Owners committing themselves with orders for new MR product tankers may have overestimated the potential in the market, ICAP says.
The shipbroker believes the sector has attracted disproportionate ordering interest driven by hope of improving demand.
With 55 firm newbuildings placed in 2011 and a further 29 chalked up already this year ICAP says the segment is moving fast toward being oversubscribed.
It says scrapping may provide some relief to the orderbook, which at 164 vessels is equal to over 17% of the current fleet.
But ICAP says the demand picture is now becoming clearer “with perhaps less upside than originally expected, especially after next year when the bulk of the orderbook is scheduled to be delivered”.