Star Bulk(US:SBLK) Sou Hu Cai Jing·2025-09-22 15:41Core Viewpoint - The discussion during the Capital Link conference highlighted the need for a unified global regulatory framework to drive substantial changes in the shipping industry, particularly regarding fleet renewal and alternative fuels [3][9]. Regulatory Framework - The upcoming international regulatory framework is seen as a "milestone" that could provide long-awaited global guidance for the industry, potentially accelerating the energy transition [3]. - A unified carbon pricing and certification system is deemed essential for shipowners' investments, with lessons learned from the EU ETS implementation [5]. - The complexity of new regulations raises concerns about compliance difficulties, leading some shipowners to face potential fines to maintain operations [5][9]. Fuel Selection - The topic of fuel selection is contentious, with a focus on transitional fuels as practical solutions compatible with existing fleets [5]. - The "chicken and egg" dilemma regarding alternative fuel production and regulatory certainty is a significant concern for shipowners and fuel suppliers [7]. - A new responsibility framework and insurance arrangements are necessary for the transition to alternative fuels, as the shipping industry has long relied on by-products from the refining industry [7]. Shipowner Strategies - Shipowners exhibit cautious attitudes towards new ship orders, with significant uncertainty suppressing new orders, particularly in the tanker and bulk markets [9]. - Some companies are opting for stock buybacks and cash retention instead of placing new orders, citing high costs and regulatory risks associated with traditional fuel vessels [9]. - The industry is leaning towards a "gradual transition" rather than aggressive transformation, waiting for clearer policies and fuel market signals before making large-scale fleet updates [9]. Consensus and Future Outlook - Despite differing views on fuel pathways and investment timing, there is consensus on the necessity of a unified and enforceable regulatory system for the shipping industry's green transition over the next decade [9][10]. - Energy efficiency improvements are prioritized as more practical than large-scale alternative fuel adoption before 2030 [10]. - A multi-pathway approach involving LNG, methanol, ammonia, and other fuels is recognized as essential, as the industry cannot rely on a single fuel for its transition [10]. - Uncertainty continues to delay investments from both shipowners and fuel suppliers, who are awaiting clearer policy and market signals [10].