Less than 3% of Chinese yards win 97% of newbuild ordersLess than 3% of Chinese yards win 97% of newbuild orders
Amidst China's nationwide shipbuilding slump, newbuilding contracts in the first eight months of this year have increased but 96.5% of the new orders were concentrated in less than 3% of the country's total number of shipyards.

From January to August this year, more than 1,600 Chinese yards gathered new orders totaling 34.19m dwt, a surge of 139.3% over the same period of 2012, according to data from China Association of the National Shipbuilding Industry (Cansi). However, 39 bigger yards took the lion's share of 96.5% in new orders by clinching 33.01m dwt during the first eight months, a jump of 183% over the previous corresponding period.
The massive market share by just 39 yards is a clear indication that many of those small-to-medium sized shipbuilding enterprises would have received zero orders due to the severity of the ongoing shipbuilding recession.
In completed vessel tonnage, the whole of China delivered 26.95m dwt of capacity, an increase of 28.7% over the corresponding period of last year. But the 39 leading yards completed 23.14m dwt of vessel tonnage, taking up 85.9% of the market share and an increase of 31.2% year-on-year.
Similarly the leading yards took 90.9% market share in the orderbook up until August, which stood at 104.21m dwt and 114.64m dwt for the 39 yards and China as whole, respectively.
Among the total completed vessel tonnage, 22.61m dwt were meant for exports, but the figure was down by 28.4% from a year ago. Newly contracted capacity meant for exports came up to 32.43m dwt, soaring 193% compared to a year earlier while end-August orderbook designated for exports came up to 96.87m dwt, down 5.9% year-on-year, Cansi figures showed.
On a broader scale, Cansi revealed that 80 of China's stronger shipyards scored a completed shipbuilding value worth RMB229.1bn ($37.42bn) in the first eight months, down 13.3% year-on-year. The total amount included newbuilding jobs valued at RMB118.6bn, ship equipment production of RMB16.1bn and ship repair worth RMB7.99bn.
The value of newbuilding exports by the 80 shipbuilders amounted to RMB108.3bn during January to August, a 24.8% decline compared to the same period of 2012.
The 80 shipbuilders also posted a combined revenue of RMB153.2bn and a net profit of RMB4.31bn in the first eight months, a year-on-year drop of 16.1% and 61.2%, respectively.
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