South Korean shipbuilding industry are putting behind their Chinese competitors and retaining the highest spot in international order receipts.
According to the South Korean data, the country defeated China to rise to the top of the international shipbuilding orders for 4 consecutive months from May to August of 2019.
Safe to say South Koran yards deem this happy news. They have long since been part of a fierce battle for the top place in international market with China. The previous year, Korea outdid China; its first time since year 2015.
This news has come at a time when 2 out of Korea’s top 3 wait for the authorization of global anti-trust regulators for a large-scale merger. If that ends up getting approved, the merged body will be in a good place to take advantage from incoming regulations which need advancements to ships’ environmental technologies.
The latest encouraging results were owed to South Korea’s prominent position in building ships, for instance LNG-powered ships, Very Large Crude-Oil Carriers, etc. These vehicles need leading-edge technology, unlike ships like the grain and bulk carriers.
According to data from the Ministry of Trade, Industry and Energy, South Korean shipyards won orders for a total of 735,000 compensated gross tons the previous month, accounting for 73.5 percent of the total 1 million compensated gross tons of orders placed internationally in August.
Comparatively, Chinese shipbuilding industry won orders of 260,000 compensated gross tons.
When speaking to the press, the trade ministry stated how Korean companies won most of the international orders for LNG carriers and VLCCs, not considering the orders placed by the governments of China and Japan.
In the January to August period, the Korean shipyards’ accumulated orders worth $11.3 billion, defeating China’s $10.9 million.