In the first quarter of this year, South Korea’s shipbuilders quarterly new ship order value since the fourth quarter of 2021 for the first time since China topped the list. However, in the latest month of the order battle, Chinese shipbuilders have made strong efforts to “crush” South Korean shipping companies with more than 5 times the advantage.
According to the data released by Clarkson on May 7, the global new ship orders in April this year amounted to 4.71 million compensated gross tonnages (CGTs) (121 ships), based on CGTs, an increase of 23.6% over the same period last year (3.81 million CGTs). Among them, Chinese shipbuilders new orders for 3.58 million CGTs (91 ships), with 76% of the market share ranked first in the world; South Korean shipbuilders new orders for 670,000 CGTs (13 ships), with 14% of the market share ranked second in the world. Chinese shipbuilders maintain the leading position with an overwhelming advantage of more than 5 times (market share difference of 62%).
The data showed that the global new ship orders totaled 16.41 million CGTs from January to April, an increase of 8% year-on-year. During this period, Chinese shipbuilders’ order book was 9.29 million CGTs (335 ships), with a market share of about 57%, an increase of 23% over the same period last year, ranking first; South Korean shipbuilders’ order book was 5.24 million CGTs (110 ships), with a market share of 32%, an increase of 24% over the same period last year.
Taking the end of April as the benchmark, the global hand-held new ship orders amounted to 129.91 million CGTs, down 100,000 CGTs. Among them, Chinese shipbuilders hand-held orders for 64.86 million CGTs, market share of about 50%, down 70,000 CGTs, an increase of 8.17 million rCGTs over the same period; South Korean shipbuilders hand-held orders for 39.1 million CGTs, market share of about 30%, an increase of 210,000 CGTs, an increase of 360,000 CGTs over the same period.
As of the end of April, the Clarkson Newbuilding Price Index stood at 183.92 points, an increase of 9.9% year-on-year, continuing the upward trend.
In terms of ship types, the newbuilding price of large liquefied natural gas (LNG) carriers of 174,000 m3 class is US$264 million; the newbuilding price of very large crude carriers (VLCC) is US$130.5 million; and the newbuilding price of ultra-large container ships (22,000 TEU-24,000 TEU) is US$266.5 million.
Regarding the current order situation, South Korean shipbuilding industry sources said, ” The order selection strategy of South Korean shipyards to focus on high value-added ships may have had a certain impact on the order volume. But even if South Korean shipyards include ordinary ship types such as bulk carriers in the scope of receiving orders, given the price competitiveness of Chinese shipyards, South Korean shipyards will not be able to obtain more new orders.”
In April this year, Chinese shipbuilders have repeatedly become the spotlight of the global shipbuilding industry.
On April 29, China State Shipbuilding Corporation (CSSC) and Qatar Energy Group (QEG) held a signing ceremony in Beijing for a project to build 18 of the world’s largest 271,000 m3 ultra-large LNG carriers. The project set a record for the world’s largest single shipbuilding order.
On April 19, CSSC Dalian Shipbuilding Industry (DSIC) and AET, a tanker company under MISC Group, a Malaysian international shipping company, signed a contract for the construction of two liquid-ammonia dual-fuel-powered Aframax tankers, which is the world’s first order for liquid-ammonia-fuel-powered tankers.
In addition, CSSC Guangzhou Shipbuilding International (GSI) signed a contract with Mercy Ships International, an international charity organization, for the construction of a hospital ship.
