Shipbuilding – China Stuggles to Keep Pace with Korean Yards
South Korean yards took market share from Chinese yards in 2011 according to a recent report in the Danish Ship Finance Review. South Korea secured new orders of 13.5 million cgt Korean yards secured almost half of the contracted capacity (13.5 million cgt). Container and Tanker orders accounted for 85% (6 million cgt and 5 million cgt respectively). South Korea therefore maintains the position as the leading global builder of Containers and Tankers. But South Korean yards also added to their market position in the specialized tonnages. For example, orders of 1 million cgt were placed for Drillships in 2011. European owners signed 60% of the orders placed in South Korea during 2011. The order cover dropped on average 14% to 28 months in 2011.
Confitarma and Jiangsu Yards Sign Contract
A group of Naples ship owners have come to an agreement with the Chinese yard Jiangsu New Yanagzijang Construction Co. for the building of 16 90,000 ton bulk carriers. Nicola Coccia Confitarma president with a group of Naples ship-owners and representatives of the Chinese yard signed the agreement on June 20. The order was placed by Perseveranza di navigazione,d’Amato di navigazione spa, Gestioni Amatoriali spa, la Giuseppe Bottiglieri di navigazione spa e Liberty Marittime International who thus become de facto partners in the Chinese yard. Promotor of the deal was Confitarma president Nicola Coccia who was able to bring together the needs of a number of owners in a single yard an unusual fact for shipowners but producing an excellent price.
Graig Takes Delivery of Bulk Carrier
Cardiff-based Graig Ship Management Limited has taken delivery of the 79,600 dwt bulk-carrier King Peace, for which it is providing full technical management and crewing on behalf of Shanghai-based Zhong An Shipping. The vessel was built at China’s Wu Jia Zui Shipyard under the supervision of Graig China Ltd. Managing ships for Chinese owners is a logical step for Graig, which began business in China in 1995, building ships there for itself, then building up expertise in newbuilding supervision and Chinese yard capabilities to help other Western owners to get the best out of China.
SCI May Turn to Chinese Shipyards
Shipping Corporation of India mayturn to Chinese shipyards for acquisitions of its future tonnage covering tankers, tugs and bulk carriers. The major shipbuilders, mostly located in Korea, are, it is learnt, unable to accept new orders for deliveries in the next few years as their order books are full for the foreseeable future. Besides, the Korean yards have stopped building bulk carriers. SCI, it might be noted, has already placed orders with three Korean yards for acquisitions of various types of vessels two 4,400-TEU container vessels with Hyundai, six large range product tankers with STX and two VLCCs with Daewoo. SCI Forbes Ltd…
Japan Shipyards Turn to Fuel-Savings to Compete
According to a report from Bloomberg, Japanese shipbuilders, leapfrogged by South Korean and Chinese yards in an industry they once dominated, are counting on fuel-saving technology to help them overcome a stronger yen and high wages. A Japanese handysize dry-bulk ship typically uses about 24 tons of fuel a day, compared with 28 tons for Chinese-made ones, a Bloomberg source said. Source: Bloomberg
Report: Containership Order Buoys S. Korea
According to a report on Reuters, shares in shipbuilders in South Korea were buoyed when news broke that Daewoo Shipbuilding & Marine Engineering had won a $2 billion order from A.P. Moeller-Maersk AS to build 10 container ships. It was reported that it was also in the running for another larger order, 10 ships at $4b. Daewoo and the entire South Korean shipbuilding industry has been fending off fierce competition from China, as Chinese yards have now staked the claim as the world's most prolific shipbuilding country. (Source: Rueters & Staff reports)
HK Shipowner CSSC Orders Mega-Container Ships
Waigaoqiao-controlled Shanghai Jiangnan Changxing Heavy Industry has signed a shipbuilding contract with CSSC Shipping (Hong Kong) to build three 16,000 TEU ships, the largest ever built by Chinese yards, reports China Logistics Portal. Jointly designed by Waigaoqiao Shipbuilding and CSSC-affilated Marine Design & Research Institute of China (MARIC), two of the ships will be built at Jiangnan Changxing Heavy Industry and one will be built at Waigaoqiao Shipbuilding. The order to build the giant ships comes after state-run shipbuilding group, CSSC, established a ship-owning arm in Hong Kong in 2012 in a bid to drive business. Source: China Logistics Portal
Graig Opens Chinese Facility
Graig Shipping Plc has opened a new facility in Shanghai, China, to provide a centre of excellence for ship design, newbuilding supervision, shiprepair and classification. "Chinese ship yards have enormous potential," says Hugh Williams, CEO of Graig. "This facility will help owners to get the very best from China. Under one roof we now have Graig Ship Management, which provides the highest quality newbuilding supervision services, Graig Carl Bro Ship Design, which will shortly be launching new designs for Chinese yards, and Graig Harris Pye, which offers competitive repair and vessel upgrading. We are also proud to share the complex with DNV, which is the leading classification society in the Chinese market."
China Shipbuilders Woeful, Many Face Uncertain Future
Many Chinese shipbuilders flounder in the face of a declining world shipping slowdown according to the latest industry reports. Production at Chinese yards, the world's biggest shipbuilders by tonnage, declined steeply during the first three quarters of the year, reports 'China Daily'. During the period, finished capacity dropped by 18.5 percent from last year to 41.58 million deadweight tons, and new orders decreased by 46.9 percent year-on-year to 15.41 million deadweight tons, according to the latest data recently released by the Ministry of Industry and Information Technology. In the meantime, Chinese yards' order book stood at 121 million deadweight tons by the end of September, down 19.4 percent from the amount at the end of 2011.
Chinese Yards to Build More LNG Tankers
Chinese shipbuilders are gearing up to build liquefied natural gas (LNG) tankers as the government approves more projects to import the fuel. China's first home-built LNG tanker will be completed in November by Shanghai's Hudong-Zhonghua Shipbuilding Co, which has orders for three more at about $200 million apiece. Another three Chinese shipmakers are ready to build the tankers, the most complex and expensive type of cargo carrier. Next month, China will receive its first cargo of LNG in Guangdong from Australia amid plans to double gas use by 2010 to curb coal pollution. The country is developing its domestic shipbuilding industry to secure transportation of imported raw materials for the expanding economy.
China Shipyard Launches Ice-classed MP Vessel
Hudong-Zhonghua Shipbuilding Co. Ltd, Shanghai, launch 'Thamesborg' for Royal Wagenborg. The Thamesborg (yard number 1595A) is the first vessel in a series of 21000 tons, 1A ice classed, multi purpose vessels, the Chinese yard is building for Royal Wagenborg. The vessels in this series are geared with four 60 ton cranes. After the launch of the new MP ship, the keel for yard number 1596A was put down for a similar vessel to be delivered when complete to the same owners later next year. The expected delivery of m.v. Thamesborg is said to be end of January 2013.
Plunge in Newbuild Orders for China
The newbuilding orders for China’s shipbuilding yards plunged by 25.4% during the first three months of 2017 compared to the same period a year earlier, according to data provided by the China Association of the National Shipbuilding Industry (Cansi). For the first quarter ended 31 Mrach, Chinese yards recorded 5.54m dwt in new vessel tonnage. However, in completed newbuild tonnage, they produced a total of 15.67m dwt of vessel capacity during the first three months, representing a jump of 87.7% compared to the previous corresponding period.
Korean Shipyards Hold Lead in Market
Yonhap reported that South Korean shipyards have unparalleled competitiveness despite recent challenges posed by Chinese shipyards, industry and government sources said. The optimistic predictions come as alarm bells have been sounded over Chinese yards outpacing domestic companies in shipbuilding orders received in the first two months of this year. Such developments have caused some in China to boast that it can become the world's number one shipbuilding country by 2015. The Korea Shipbuilders' Association (KOSHIPA) said China is competitive in relatively small-sized bulk carriers that are simple, low-tech and do not bring very big profits. These views were echoed by Park Dong-hyuk, executive vice president for production management at Daewoo Shipbuilding and Marine Engineering Co.
China Tightens Shipbuilders' Credits: Singapore May Benefit
Singapore's Keppel Corp Ltd and Sembcorp Marine Ltd, the world's top offshore rig-makers, stand to be among the winners through Beijing's moves to tighten credit amid a downturn at China's shipyards, reports Reuters. The two companies have been under mounting pressure from Chinese yards offering generous payment terms, price discounts and help with financing, but that may be changing after Beijing pledged to cut credit to industries plagued with overcapacity, and China Rongsheng Heavy Industries Group, the country's largest private shipbuilder, fell into financial trouble. Rongsheng could now become the biggest casualty of a local shipbuilding industry suffering from overcapacity and shrinking orders amid a global shipping downturn.
Chinese Shipyard Terminates Greek Contract
Yangzijiang Shipbuilding (Holdings) Ltd has terminated a contract with Greek shipowner FreeSeas Ltd after it failed to make payments The cancelled contract was for Yangzijiang to build two bulk carriers for FreeSeas, an external spokeswoman for the Chinese shipbuilder told Reuters. Although the orders from FreeSeas account for only 1 percent of Yangzijiang's $4.5 billion order book, "the cancellation will still be negative on sentiment as this is Yangzijiang's first contract cancellation on default," said DBS Vickers in a report. It added that among the Singapore-listed shipyards, COSCO Corp Singapore Ltd has the highest exposure to Greece and Europe, with more than 60 percent of its order book from the region, while Yangzijiang will be the least affected among Chinese yards.
China Shipbuilder Ponders Overseas Yard Acquisition
China Shipbuilding Industry Corp (CSIC) says it has had advanced talks with a European shipbuilder so far. Despite the travails of the lack of orders at home one of China’s shipbuilding majors is looking at taking advantage of the downturn by acquiring some overseas yards to boost its technology expertise, reports Sinoship News. China Shipbuilding Industry Corp (CSIC), the state-run entity that controls many northern Chinese yards, said recently that it had held advanced talks with one European shipbuilder so far. "The talks did not bear any fruit but they did help us gain experience in negotiating with European companies," a senior executive, Sun Bo said recently. "We will continue pursuing the idea (of mergers and acquisitions of European shipbuilding companies)," he added.
Nautical Makes Bid for Jaya
Reuters reported that an investment firm has bought a controlling stake in Singapore shipbuilder Jaya Holdings, triggering a mandatory cash offer for the outstanding shares in a deal valuing Jaya at $655m. Cayman Islands-incorporated Nautical Offshore Services and Jaya said in statements to the Singapore Exchange late on Friday that Nautical had acquired 44.3 percent of the Singapore firm and would make a mandatory cash offer for the remaining shares. Jaya suspended trading in its shares early on Friday, pending an announcement. Jaya owns a small shipyard in Singapore and another in the Indonesian island of Batam. It also owns a fleet…
China Rongsheng Chairman Quits
Chairman of China's largest private shipbuilder, Zhang Zhirong, steps down from China Rongsheng Heavy Industries Group. Determined to put scandal behind it, China’s largest private shipbuilder, China Rongsheng Heavy Industries Group, has said its chairman has stepped down. to be replaced by the yard’s CEO, Chen Qiang, reports SinoShip News. Rongsheng was hit by an insider dealing scandal involving a firm owned by Zhang ahead of the $15.1bn bid for Canadian oil firm Nexen Inc by China offshore oil and gas producer CNOOC. Rongsheng’s profits have slumped this year amid a barren time for Chinese yards and shares of the Hong Kong-listed entity have dropped 30%. Source: SinoShip News
News: China Preps To Take World Lead
Rapidly rising prices for steel plate in China may be taking the edge off the financial performance at some Chinese shipbuilders. But it will take a lot more than that to undermine shipyards' dramatic expansion plans aimed at ensuring the country's builders produce more ships than any other nation by 2015. In the short run, however, the country's relatively inexperienced builders seem to have failed to read the steel supply signs. They have found themselves caught out by a number of factors driving up ship steel prices. These have risen by almost 60% over the last 30 months or so and now stand close to $400 a ton. On the one hand, soaring…
Russian Classification Society RS at Marintec China 2013
RS say that Russia-China ties are developing actively and that China's maritime industry capabilities are of great interest to their Russian clients. Consequently RS will be exhibiting at this year's Marintec China expo in Shanghai. Russian Maritime Register of Shipping has operated in the region since 2003. The RS office in Tianjin coordinates service rendering in China, Taiwan and Hong Kong, performing classification and survey of ships under construction at Chinese yards, certification and approval of ship’s materials and equipment and rendering other services.
Strong Offshore Market Demand Prompts Swissco OSV Orders
Singapore's Swissco Holdings say they have placed orders with China shipyards for two anchor handling tug supply vessels (“AHTS”) and a fast utility/crew boat with a one plus one option. The newbuild vessels, excluding owner supplied equipment, are worth an aggregate of S$42 million. “We believe that the heightened demand for offshore support vessels will remain sustainable on the back of healthy level of activities in the robust oil and gas industry and we will continue to tap on this growing demand by enhancing our fleet capabilities through our vessel expansion and fleet renewal program…
Guangzhou Shipyard's Net Triples on Expanded Capacity
Guangzhou Shipyard International Co., more than tripled fourth- quarter profit after expanding capacity and shortening construction times. The company's shares rose the most in a month. Net income climbed to $37m in the fourth quarter, according to numbers derived from 2007 earnings announced by the company to the stock exchange. Sales gained 254 percent to 2.24 billion yuan. Record demand for ships to carry imports of raw materials to and exports of consumer goods is fueling earnings growth in the nation's shipbuilding industry. Chinese yards are expanding to help achieve the government's goal of surpassing as the biggest shipbuilding nation by 2015. Source: Bloomberg
Bocimar Expands Fleet, Buys 3 Ships
three capesize newbuilding vessels for a total purchase price of $188 million. 2005 - is obtained from Teh Hu (Hong Kong). dwt newbuilding that will be delivered in the third quarter of 2006. the Golden Ocean group. will be delivered in November 2006 and January 2007. concluded with a Japanese and Korean charterer on favourable terms. finalisation of the contract documentation. modern and rewardingly-valued fleet. fleet will have been built at SWS.