No Light at End of World Shipbuilders’ Tunnel

Press Release
Friday, November 30, 2012

Drewry Maritime Research’s ‘Annual World Shipbuilding Market Review & Forecast’ highlights bleak prospects for the world’s shipbuilders.


Shipbuilding production levels have remained at record high levels exceeding 50 million cgt for two consecutive years (2010 -2011), with 2012 forecasted to remain close to 2011 levels. However the orderbook that forms the contracted forward workload has diminished rapidly and tails-off to very low levels for 2014 and beyond.


Over-tonnaging and large operating inefficiencies mask the true levels of fleet under-utilisation and are hindering a recovery. With the orderbook dominated by bulk carriers and containerships, two of the worst hit markets in terms of over supply wreaking havoc with rates, it reflects the fact that for some time now ordering activity by shipowners has exceed the requirements of trade growth.  


To give a clear insight into the prospects for the shipbuilding industry Drewry’s Annual World Shipbuilding Market Review and Forecast report presents three scenarios covering the projected newbuilding requirement by sector and ship type over a fifteen year period, reflecting the uncertainty that surrounds the industry.


Only under the High Case scenario is there a requirement for further new ordering beyond the size of orderbook at the start of 2012. Whereas under the more realistic Base Case in virtually all fleet sectors the size of the orderbook at the start of 2012 more than exceeded the newbuilding requirement to 2016.


The immediate prospects for the shipbuilding industry are therefore bleak. Furthermore access to funding – either through retained reserves or debt is very limited for shipowners and in the circumstances it seems almost inevitable that new ordering levels will remain low for some time to come.


Simply the difference between forecast demand and capacity is too great to be bridged by contraction from isolated capacity closure, meaning shipyards will have to fight for survival by securing enough of the limited new ordering that is likely to take place in the next couple of years.


To order the full report click here: http://www.drewry.co.uk/publications/view_publication.php?id=396

 

Maritime Reporter September 2014 Digital Edition
FREE Maritime Reporter Subscription
Latest Maritime News    rss feeds

Shipbuilding

De Beers Orders Specialized Ship from Kleven

Kleven signed a contract with diamond company De Beers Marine Namibia, part of De Beers Group, on the building of a highly specialized vessel for deep water mineral exploration.

FMT Options for another Towboat from Eastern

Eastern Shipbuilding Group, Inc. announce that Florida Marine Transporters, Inc. of Mandeville, La. exercised another additional 90’x32’x10’ “Canal Class” Inland

Tuco Debuts New Wind Farm Service Boat

Less than a week before the Offshore Energy 2014 Exhibition and Conference in Amsterdam the coming week, Tuco Marine disclosed the newest vessel in the ProZero series of Fast Rescue Boats,

Ship Repair & Conversion

Maritime Reporter @ 75: The Daily Cartoon

Maritime Reporter & Engineering News was founded by John J. O'Malley (1905-1980) in 1939, and today ranks as the world's largest audited trade publication in the world serving the maritime industry,

Mitsubishi Super Skiving System

Mitsubishi Heavy Industries, Ltd. (MHI) has completed development of the "Mitsubishi Super Skiving System" for machining internal gears with high speed and outstanding precision.

Messer to Debut MetalMaster Xcel

Messer Cutting Systems said it has answered the call from manufacturers that have been demanding a faster, more accurate way of producing cut parts. Messer’s

Finance

Singapore Bunker Meter Mandate Targets 'Frothy Fuel'

Singapore, the world's biggest bunkering port, plans to end the so-called "cappucino effect" in ship fuelling through new meters designed to stop suppliers from short-changing customers,

Technip & Fluor Bag RAPID UIO Project

Technip, in a joint venture with Fluor, was awarded an engineering, procurement and construction management contract by PRPC Utilities and Facilities Sdn. Bhd.

Gazprom to Counter Negative Global Market Trends

The Gazprom Board of Directors took note of the information on the Company's financial strategy under the conditions of negative trends in the global financial

News

De Beers Orders Specialized Ship from Kleven

Kleven signed a contract with diamond company De Beers Marine Namibia, part of De Beers Group, on the building of a highly specialized vessel for deep water mineral exploration.

USCG Monitoring Barge adrift in Beaufort Sea

U.S. Coast Guard personnel and Canadian federal agencies, including the Canadian coast guard, Transport Canada and Environment Canada, are monitoring a 134-foot

DP World Receives 1st Scheduled Vessel at New Terminal

DP World has yesterday welcomed the first scheduled vessel to call at its new Container Terminal 3 in Jebel Ali, Dubai, as it gears up to serve customers at the state-of-the-art facility.

 
 
Maritime Standards Pipelines Pod Propulsion Port Authority Salvage Ship Electronics Ship Repair Ship Simulators Shipbuilding / Vessel Construction Sonar
rss | archive | history | articles | privacy | terms and conditions | contributors | top maritime news | about us | copyright | maritime magazines
maritime security news | shipbuilding news | maritime industry | shipping news | maritime reporting | workboats news | ship design | maritime business

Time taken: 0.1589 sec (6 req/sec)