Orders Down for South Korean Shipbuilders

The number of orders won by South Korean shipbuilders fell 36 percent last year as global demand for new ships shrank and oil prices dropped.

Clarkson Research Services data show that South Korean shipbuilding companies took orders for 305 ships (11.78 million compensated gross tons (CGTs)), reports local media, ranking it second globally for the fifth consecutive year. 

Worldwide, orders fell 34.7 percent to 39.70 million CGTs last year compared to 2013, and South Korea’s market share was approximately 30 percent.

However, Daewoo Shipbuilding and Marine Engineering (DSME) won contracts worth US$14.9 billion in 2014, surpassing its target as a result of demand for gas carriers, including LNG carriers for Angelicoussis Group of Greece, Kogas and Maran Gas.

Hyundai Heavy Industries welcomed in the new year naming two 10,000 TEU containerships for a Greek shipping line, Oceanbulk Maritime. HHI plans to deliver a total of 74 ships including 25 containerships in 2015. 

China held top position in 2014 with 801 ships (15.31 million CGTs) and a market share of 41.5 percent. Japan increased its market share by a bit over two percent to 19.7 percent, partly as a result of government moves to weaken the yen.