On April 29, China COSCO SHIPPING Corporation Limited (hereinafter referred to as COSCO SHIPPING Group or the Group) issued the “Announcement on Ordering Fourteen 18,500TEU Methanol Dual-Fuel Powered Container Ships”.
The announcement disclosed that on April 29, 2025, the 18th meeting of the 7th Board of Directors of COSCO SHIPPING Group reviewed and approved that the company’s holding subsidiary Orient Overseas (International) Limited (“OOIL”) would order a total of 14 18,500TEU methanol dual-fuel powered container ships from Nantong COSCO KHI Ship Engineering Co, Ltd. (NACKS) and Dalian COSCO KHI Ship Engineering Co Ltd.(DACKS) at a price of US$220 million (equivalent to approximately RMB 1.585 billion) per ship. The total transaction price is US$3.08 billion (equivalent to approximately RMB 22.189 billion).
According to the announcement, NACKS signed five shipbuilding agreements with five wholly-owned subsidiaries of OOIL, and DACKS signed nine shipbuilding agreements with nine wholly-owned subsidiaries of OOIL. The relevant shipbuilding agreements will take effect from the date of signing by both parties, and the new ships are expected to be delivered between the third quarter of 2028 and the third quarter of 2029.
COSCO SHIPPING Group stated that the transaction is in line with the Group’s long-term development strategy of steadily increasing the capacity of its fleet, achieving long-term balanced development, further consolidating its position in the industry, and continuing to promote the globalization of its container shipping business.
The ships ordered this time have multiple uses and are suitable for operations on a variety of trade routes and ports. They will achieve more balanced development in the global service network and enhance core competitiveness in traditional and emerging markets.
COSCO SHIPPING Group emphasizes that the new ships can gradually replace old ships and will help optimize the Group’s fleet structure. The new ships will be equipped with green fuel technology (such as methanol dual-fuel engines), which will reflect COSCO SHIPPING Group’ support for global energy conservation, emission reduction and sustainable development strategies, and respond to customers’ demand for a zero-carbon supply chain. In addition, the increase in the average container capacity of a single ship will bring economies of scale, reduce the cost of a single container, and enhance COSCO SHIPPING Holdings’ competitive advantage in operating costs.