In just a month, Chinese intra-Asia carrier group SITC International Holdings has ordered 13 newbuildings from compatriot Yangzijiang Shipbuilding.
After ordering seven newbuildings on 30 November 2020, SITC said on 21 December that it has ordered another six ships, each with 2,600TEU capacity, and for a total price of US$162 million.
Deliveries of the ships are scheduled from September 2022 to January 2023. This order comes with options for four more ships. Construction will be undertaken by two of Yangzijiang’s subsidiary yards, Jiangsu New Yangzi and Jiangsu Yangzijiang.
SITC said that in view of rising charter costs and shipping demand, it wants to expand its owned fleet.
SITC now has 19 ships on order at Yangzijiang. These comprise of eight 1,800TEU ships, six 2,600TEU ships, four 2,400TEU ships and one 2,700TEU ship, contracted for a total of US$342 million.
Notwithstanding the market uncertainties caused by the Covid-19 pandemic, SITC believes that the intra-Asia trade market will continue to experience significant growth.
As of 30 June, the group operated in 70 trade lanes, including nine through joint services and 27 trade lanes through container slot exchange arrangements. These services and land-based integrated logistics business network covered 72 major ports in Asia.
SITC now has a combined capacity of 125,933TEU with 71 owned ships and 16 chartered vessels.
Martina Li
Asia Correspondent
