Demand is one thing, supplying the ore, coal, etc, another entirely. Where will the ore come from to meet the demand growth if it rose 20% next year? There isn't that much mining, rail, port, trucking, equipment, etc., to get that much more out of the ground. Vale, the largest ore producer, expects to add 30-35 mdwt to its capacity of about 325 in 2008. It expects its output to grow by 11% or so annually. The thing about Vale is the are investing heavily into converting VLCCs to VLOCs and building new VLOCs to haul their own ore in their own ships. They are doing this in partnerships with Baosteel, China's largest steel producer. Many other companies are buying ships and starting up shipping segments to defray the high costs of shipping. This makes a lot of sense, as the daily operating costs are very low, 15-20k per day including bunker fuel, to pay to have a ship you own technically managed for you versus paying 80k per day to charter a panamax for a year. Saving 60k per day makes a 70 million dollar purchase pay itself off in about 4 years, cost of capital included. From then on, they save in the area of 20 million a year if they use it constantly, and if they don't they can put the ship on spot charters when it has some down time.