Chairman’s Message August 2020

Starting on a positive note we would like to welcome Kingship as APSA’s newest member. Roger and Diana Liang are well known in the Asian superyacht community as well as the rest of the world, and their son Jeffrey is joining them in the family shipyard business. It’s great to have them as members of APSA.

Unfortunately, Covid continues to wreak havoc with the boating industry with both Cannes and METS having suffered the same fate as Monaco. Now all eyes are on Ft Lauderdale to see if the last of the big shows will go ahead but it’s a waiting game.

It is an interesting phenomenon during the pandemic that many of the yacht brokerage markets around the world are busy – for example Darrell Hall at our member company YACHTZOO just sold two yachts in a week!

Asia is no exception either, with Hong Kong being a good example of this. Mike Simpson, MD and founder of Simpson Marine says, “The Hong Kong boat market is doing remarkably well this year in spite of the pandemic-related lockdown restrictions and a weakened economy. By the end of July, the company had sold 67 new and brokerage yachts of all sizes including six new-build Sanlorenzos ranging in size from 76ft to 146ft.

Australia is also seeing a boom in the domestic superyacht charter scene and according to David Good CEO of Superyacht Australia, “Australians spend around $65 billion annually on overseas holidays, and with travel off the cards for the foreseeable future, travellers are starting to think about how to enjoy what Australia has to offer. Converting just 1% of top-end Australian cruise passengers equates to 13,500 new superyacht guests chartering vessels available in Australia.”

Super Yacht Logistics (SYL Japan) reports that although they do not have any visiting foreign yachts, the domestic market is keeping them busy and owners are using their Japanese based yachts widely within Japan. However, enquiries are coming in thick and fast from owners and captains for cruising opportunities in 2021. The domestic brokerage market is busy and with a stronger Yen the brokerage market for international yachts is busy too.

India and Sri Lanka however are still labouring under border and quarantine restriction, and whilst business have been allowed to open, Aashim Mongia MD of West Coast Marine Services reports that they only have 10 % of staff in the office, as local trains (metro) which are the lifeline of the city are not working, travel restrictions on flying are still in place, and restaurants are still shut. All this means that India still is a long way from normality. The monsoon is currently in the withdrawal phase and hopefully by mid-October markets will reopen, but Mongia doesn’t think they will be seeing the cruising yachts or the borders opening for tourism anytime soon.

Indonesia and Singapore are starting to welcome superyachts back and Richard Lofthouse, MD Catalano Shipping reports that CSS Indonesia has been busy with an influx of yachts into Benoa Marina. “Many superyachts have decided to stay in the region to cruise and charter which is good for Asia.

Thailand recently announced the cancelation on the Thailand Charter Show and according to Gordon Fernandes and Captain Charlie Dwyer APS Co-Founders Asia Pacific Superyachts there is still no news of when superyachts will be able to come, or indeed leave the country. But there is some good news and at a recent public meeting the Green Port Marina project was announced for mooring around 220 yachts from 10 to 70M. If the Environmental Impact Assessment (EIA) is accepted the construction on the marina is expected to start early next year.

Some more good news is the Asia Boating Dialogue which will see a two-day free webinar that focuses on the business of boating in Asia. This is a great initiative lead by YP Loke at Singapore Boating Industry Association and Lawrence Chow at Hong Kong Boating Industry Association and backed by ICOMIA. With more berths, hopefully coming online and the brokers selling more yachts in Asia, the future is looking a bit brighter!