China's shipbuilding industry surges ahead, with orders scheduled for 2028

China's shipping industry saw robust growth in 2023, prompting shipowners around the globe to place orders, some of which have been scheduled for 2028.

The increase in orders can be linked to China's strengths in environmental protection, according to Li Hao, director of operations at Guangzhou Shipyard International Company Limited, a subsidiary of China State Shipbuilding Corporation Limited. 

Li told China Media Group that about 80 percent of the company's orders came from foreign countries.

According to Li, over 60 percent of the ship manufacturer's current orders were for methanol or LNG dual-fuel container ships, which can reduce carbon emissions by 20 percent, nitrogen oxides by 85 percent and sulfur emissions by 99 percent, compared with ships powered by fossil fuels.

The ship manufacturer is currently constructing a series of mega vessels for global shipping giant Mediterranean Shipping Company (MSC), each of which will be able to carry more than 16,616 twenty-foot equivalent units (TEUs) at a time.

The first ship was delivered to the client in late-July last year, and eight are planned, all of which can be powered by LNG engine systems.

Data released by the Ministry of Industry and Information Technology showed that China's shipbuilding output climbed 12.3 percent year on year to 38.09 million deadweight tonnes (dwt) during the January-November period last year, accounting for 50.1 percent of the world's total.

New orders surged 63.8 percent year on year to 64.85 million dwt, taking up 65.9 percent of the world's total during the period, figures from the ministry showed.

The sector's holding orders totaled 134.09 million dwt at the end of November, expanding 29.4 percent year on year. The volume represented 53.4 percent of the global market share.

(With input from Xinhua)