On October 26, Dajin Heavy Industry Co., Ltd. (hereinafter referred to as “Dajin Heavy Industry”) issued an announcement stating that a Greek shipowner has decided not to exercise an option for a 211,000 DWT bulk carrier.
According to the announcement, in July 2026, Tangshan Dajin, a subsidiary of Dajin Heavy Industry, signed a contract with a Greek shipowner for the construction of 3+1 bulk carriers with a capacity of 211,000 deadweight tons (DWT). The total contract value is approximately 2.1 billion yuan (approximately $315 million). The total contract value for the three firm vessels is approximately 1.575 billion yuan (approximately $236 million). The new vessels will be delivered in batches between 2029 and 2030; the contract value for the one optional vessel is approximately 525 million yuan (approximately to $79 million).
As of the date of this announcement, the exercise period for the aforementioned options has expired. Following consultations between the parties, the buyer (shipowner) has decided not to exercise these options. This adjustment does not affect the delivery of the three firm vessels under this contract.
Dajin Heavy Industry stated that option clauses are a common commercial arrangement in shipbuilding contracts; a buyer’s decision not to exercise an option does not constitute a breach of contract, nor does it entail any liability for breach. This adjustment will not have a material adverse effect on the company’s production, operations, or the scheduling of its shipbuilding business, nor will it impact the company’s operating results for the 2026 fiscal year. The three confirmed vessels will be delivered as scheduled, and Dajin Heavy Industry will recognize revenue in the corresponding accounting periods in accordance with the terms of the agreement and revenue recognition principles.
Based on the third-quarter report for 2026 released by Dajin Heavy Industry, the company generated revenue of 4.363 billion yuan (approximately $654 million) in the first three quarters, a year-over-year decrease of 5.05 percent, with net income attributable to shareholders of 710 million yuan. So far this year, the company has publicly announced orders for more than 20 new vessels, including 210,000 DWT bulk carriers and multi-purpose heavy-lift vessels, with a total construction value exceeding $1.7 billion. Delivery dates extend through 2029, and all orders are from overseas shipowners.