Chinese shipbuilding industry
- Thread starter tphuang
- Start date
New ship orders for Chinese shipyards are down in 2020, thanks to economic downturn, covid and overall glut.
But ship maintenance, repairs and refits are massively up, including installation of scrubbers and other emissions control equipment on older ships.
A minor bit of news as a commercial shipbuilder gets 10 orders for 3500 TEU box ships.
Singapore company orders six LNG carriers from Jiangnan Shipyard.
But ship maintenance, repairs and refits are massively up, including installation of scrubbers and other emissions control equipment on older ships.
A minor bit of news as a commercial shipbuilder gets 10 orders for 3500 TEU box ships.
Singapore company orders six LNG carriers from Jiangnan Shipyard.
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I kind of expected container ship construction to be down. Is this another sign that because of COVID other countries only increased reliance on Chinese production even more? China having gotten rid of COVID within it that is.
The LNG carriers were to be expected. There are Russian orders and China itself consumes major amounts of LNG.
Even the Power of Siberia pipeline will take several years to ramp up to capacity (4-5y) and Power of Siberia 2 at best is years away.
China hasn't ramped up natural gas production nearly as much as the US with fracking but maybe that is a good thing. Fracking like done there is net negative economic benefit. Companies survive on huge loans alone. Kind of like the Uber/WeWork model. We can thank money printing for that. China is better off importing natural gas from pipelines in Central and Northern Asia and continuing the nuclear buildup.
The LNG carriers were to be expected. There are Russian orders and China itself consumes major amounts of LNG.
Even the Power of Siberia pipeline will take several years to ramp up to capacity (4-5y) and Power of Siberia 2 at best is years away.
China hasn't ramped up natural gas production nearly as much as the US with fracking but maybe that is a good thing. Fracking like done there is net negative economic benefit. Companies survive on huge loans alone. Kind of like the Uber/WeWork model. We can thank money printing for that. China is better off importing natural gas from pipelines in Central and Northern Asia and continuing the nuclear buildup.
Containership production is still lucrative because of high replacement rate. The average life of a containership is only about 10 years compared to about 20-25 years for bulk freighters and tankers. There is also a phased obsolescence going on where each ship must reduce their carbon footprint or you can't use port this ship in this country. This is pointing to the EU where carbon reduction is required year by year until to some point, you get zero carbon by mid century. If you are serving the lucrative EU to Asia route, you need to reduce your carbon footprint year by year. This accelerates the replacement cycle, with new technologies such as LNG powering and so on. Bill Gates recently proposed returning nuclear power to commercial shipping. Even Xi wants zero carbon by 2060.
Yamal LNG project is strategically important for the Russians and opens up the Arctic. Its a threat to the natural gas industries of other countries especially the US if the northeast route begins to serve LNG not just to China, but also to South Korea and Japan. What if the US decides to sanction shipbuilders from making ships to supply this route? This is why I think Russia is building up its fleet fast with orders to Chinese and Korean shipyards, while they prepare domestic production of their own.
This one is the Christophe De Margerie. She's the first of the Yamal LNG carriers designed to break ice and reach Yamal in the Arctic. While this particular ship is built by Hyundai, she's similar to all the other Arc7 LNG carriers being built in Chinese and Korean shipyards and gives you a visual idea how big and complex these ships are. SCF is SOVCOMFLOT, which is the Russian shipping company.
Various bits of news.
One of Jiangnan's pride and joy.
We have seen some of these ships in photos of the Jiangnan shipyard. Now we know who they belong to.
One of Jiangnan's pride and joy.
We have seen some of these ships in photos of the Jiangnan shipyard. Now we know who they belong to.
