Korean media: Orders have drastically decreased, and South Korean shipbuilding is in trouble!
On July 29, the Korean media "Chosun Ilbo" published an article stating that according to information, this year's first half, the orders of the three major South Korean shipyards did not even complete half of their target, or the order rate has significantly declined compared to last year. This is because, against the backdrop of a global decline in shipbuilding orders, the low-price bidding offensive by Chinese companies has made it difficult for South Korean shipyards. With the peak of shipbuilding past, the low order situation has become a reality, and people's concerns about "peaking" are increasing. If this trend continues, it is expected that South Korean shipyards will face the worst situation in 3-4 years.
As of June this year, HD Korea Shipbuilding & Marine Engineering received orders for 76 ships (worth $1.05 billion), a decrease of 37.2% from 121 ships in the same period last year. However, the company still completed 58.2% of its annual order target, exceeding half of the target.
This year's first half, Hanwha Ocean received 15 ship orders (3.07 billion USD), including 2 LNG carriers, 7 ultra-large crude oil tankers, and 6 ultra-large container ships. Hanwha Ocean has not officially announced its annual order target, but compared to the order volume in the first half of last year (37 ships, 5.33 billion USD), it has dropped by nearly 60%.
Samsung Heavy Industries received 18 ship orders this year's first half, which is the same as last year. However, the order volume of Samsung Heavy Industries in the first half of this year was 2.6 billion USD, only 26.5% of its annual target (9.8 billion USD).
The global shipbuilding industry is rapidly cooling down, with ship orders being only half of the same period last year. According to data from the British shipbuilding and shipping market analysis institution Clarkson Research, the global ship orders in May were 1.66 million CGT (771 ships), a 55% drop from 3.66 million CGT in the same period last year. In addition, the global ship orders in the first five months of this year were 15.92 million CGT (515 ships), only half of the same period last year (29.18 million CGT). Among them, the ship orders of the South Korean shipbuilding industry this year were 3.81 million CGT (109 ships), with a market share of only 24%.
However, in the second half of this year, South Korean shipbuilding companies may seize the opportunity for order recovery, focusing on high-value ship types such as LNG carriers and marine equipment.
In the second half of the year, the US LNG carrier orders are expected to expand. The United States is expanding its LNG export bases centered around Texas and Louisiana, and is expected to reach an annual export volume of 100 million tons by 2027. According to the analysis, this will require more than 40 LNG carriers.
Original: https://www.toutiao.com/article/1838983168436425/
Statement: This article represents the personal views of the author.