Clarkson: The Recovery Of Global Shipbuilding Orders Is Basically Stagnant

- Dec 02, 2019-

The global shipbuilding order volume has been in a moderate recovery since 2016, which experienced a 30-year low, but the recovery speed is gradually slowing down. Since the beginning of the year, the global order volume of new ships has declined by 35% year-on-year, and the order recovery has basically stagnated.

Gordon believes that "timing and technology" are the main reasons, which cause uncertainty in long-term investment decisions, despite fundamental improvements in the ship's profitability environment.

Steve Gordon, global head of Clarkson research, said the slowdown in recovery was mainly due to "timing and technology" issues, which, despite fundamental improvements in the ship's earnings environment, will still create uncertainty in long-term investment decisions.

Clarkson's data shows that at present, the global handheld orders amount to 184 million dwt, 220 billion US dollars. Among them, the total value of cruise ship orders is 59 billion US dollars, bulk cargo ship orders are 27 billion US dollars, oil ship orders are 25 billion US dollars, LNG ship orders are 23 billion US dollars, and container ship orders are 20 billion US dollars.

At the same time, the total number of vessels installed and to be installed with desulfurization devices has reached 4000, and about 1783 vessels are equipped with desulfurization devices, accounting for about 9% of the current fleet (by tonnage). The proportion is expected to rise to 19% by the end of 2020. At the same time, according to tonnage calculation, about 3% of the existing fleet has LNG power.

In terms of alternative fuels, there are currently 8 LPG power ships under construction and 4 LPG power ships to be processed and refitted, 11 methanol power ships under construction and 3 hydrogen power ships under construction in the world. In addition, about 160 existing ships and new ships under construction will be propelled by a battery / battery hybrid.

According to Clarkson's data, the number of orders held by Chinese ship companies is still the largest in the world, accounting for 35% of the global total according to CGT. Followed by South Korea (29%) and Japan (16%). In terms of delivery volume, China's shipping enterprises accounted for 34% of the global total this year, the proportion of South Korea's shipping enterprises increased to 29%, and Japan's shipping enterprises decreased to 26%.