Global ship orders saw a significant decline of over 50% last month, with China capturing more than 80% of the total orders. South Korea, focusing on a selective order strategy centered on high-value ship types, recorded a 16% market share.
According to Clarkson Research, a UK-based maritime market analysis firm, global ship orders in July totaled 3.57 million CGT (137 vessels), a 56% decrease from 8.03 million CGT in June and a 22% drop compared to 4.55 million CGT in the same month last year.
By country, China secured 2.9 million CGT (111 vessels), accounting for 81% of the total, while South Korea obtained 570,000 CGT (21 vessels), achieving a 16% market share.
In terms of cumulative orders for the year, China continued to show strength. From January to July, global cumulative orders reached 50.93 million CGT (1,778 vessels), a 65% increase from 30.95 million CGT (1,296 vessels) during the same period last year.
Of this, China received 38.02 million CGT (1,394 vessels), holding a 75% market share, which is a 107% increase compared to the previous year. South Korea secured 8.7 million CGT (218 vessels), representing a 17% market share and a 61% increase from the previous year.
The order backlog also continued to rise. As of the end of July, the global order backlog stood at 211.75 million CGT, an increase of 2.32 million CGT from the previous month. Among this, China accounted for 140.22 million CGT, or 66% of the total, while South Korea recorded 38.23 million CGT, representing 18%.
Compared to the previous month, South Korea's order backlog decreased by 480,000 CGT, while China's increased by 3.61 million CGT. Year-on-year, South Korea's backlog increased by 3.03 million CGT, while China's rose by 34.64 million CGT.
Ship prices also continued to rise. At the end of July, Clarkson's newbuilding price index recorded 185.49, up 0.34 points from June (185.15). This marks a 29% increase compared to July 2021 (143.95).
By ship type, the newbuilding prices were reported as follows: LNG carriers at $248.5 million, very large crude carriers (VLCC) at $130.5 million, and ultra-large container ships (20,000-24,000 TEU) at $259.5 million.
Industry analysts suggest that China's significant increase in monthly market share is due to its domestic shipbuilders' orders and a focus on bulk carriers and tankers. In contrast, South Korean shipbuilders are maintaining a selective order strategy centered on high-value ship types, prioritizing profitability over monthly order volume.
* This article has been translated by AI.
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