For the first time in history, the orderbook for container ships has exceeded those of bulk carriers and tankers.
Container freight rates were languishing for nearly a decade before Covid-19 struck in 2020, causing logistical bottlenecks as more people shopped online.
As freight rates soared to unprecedented highs, liner operators and tonnage providers embarked on a newbuilding ordering spree, and even companies such as Pacific International Lines, which was facing a financial crisis, recovered and commissioned newbuildings for the first time in seven years in March.
According to S&P Global Market Intelligence, Sea-web ships data shows that there are now 72.5 million dwt of container ships on order, with deliveries of these 861 vessels stretching all the way to 2025.
In contrast, the data shows that the bulk carrier orderbook stands at 63.6 million dwt, with 789 vessels under construction. The number of crude oil and chemical/products tankers on order is even lower, with 491 vessels of 34 million dwt being built.
Greek broker Intermodal observed that the newbuilding market remains dominated by ship owners’ hunger for container vessels, even though orders have been reported across most main vessel segments.
Last week, the container sector gathered the lion’s share of newbuilding orders, as PIL booked four 8,000 TEU ships at Yangzijiang Shipbuilding. CA Shipping, a joint venture between CSSC Shipping and Asean Seas Line, ordered four 1,600 TEU ships at CSSC Huangpu Wenchong Shipbuilding while MPC Container Ships contracted a pair of 1,300 TEU ships at Taizhou Sanfu Ship Engineering for charter to North Sea Container Line.
Martina Li
Asia Correspondent
