Chinese Shipyards Win Major LNG Carrier Orders Backed by UAE and Global Deals

China secured five of the seven large liquefied natural gas (LNG) carriers ordered globally in October, surpassing South Korea during that month, according to data from Clarkson Research reported on November 8. From January through October, global orders for LNG carriers totaled 76 vessels, with South Korea winning 44 vessels (57.9 percent) and China securing 32 vessels (42.1 percent).

A significant factor behind the rise in Chinese orders was Middle Eastern demand, including an order placed with Jiangnan Shipyard for four large LNG carriers by ADNOC Logistics & Services, the shipping subsidiary of Abu Dhabi's state-owned energy company. Jiangnan also won orders for two 175,000-cubic-meter vessels from Singapore-based Eastern Pacific Shipping, while Hudong-Zhonghua Shipbuilding finalized contracts with Malaysian shipping company MISC for five 174,000-cubic-meter carriers.

Across the wider shipbuilding industry, total global vessel orders reached 79.69 million compensated gross tons (CGT) through October. China accounted for 61.03 million CGT, or 76.6 percent of the total, while South Korea held 11.91 million CGT, or 14.9 percent. At the end of October, the newbuilding price for an LNG carrier was reported at $245 million, compared with $131.5 million for a very large crude carrier.