Korean Shipbuilders' April Order Share at 29%... Top Spot Ceded to China Again

Global Ship Orders Surge 120% from Previous Month
China Regains Top Spot with 59% Market Share
Domestic Orders Drive Growth... Limited Impact from US-China Tensions

In April of this year, South Korea's share in the global shipbuilding order market was only 29%, once again ceding the top spot in orders to China. Analysts attribute China's ability to increase orders, even amid escalating US-China tensions, to the high proportion of domestic orders within China.

According to Clarkson Research, a UK-based shipbuilding and shipping market analysis firm, and industry sources on the 9th, global ship orders last month totaled 4.41 million CGT (Compensated Gross Tonnage). This figure represents a 120% increase from the previous month (2 million CGT), but a decrease of about 47% compared to the same period last year (8.36 million CGT). Before the additional data from the past week was reflected, the initial estimate was 3.64 million CGT, with South Korea accounting for 17% and China for 69%. Based on the revised figures, South Korea's share increased slightly, but the gap with China remains significant.

Based on provisional data, according to the revised Clarkson Research report as of the 9th, China accounted for 59% and South Korea accounted for 29% of the total orders of 4.41 million CGT.

Based on the global order volume of 4.41 million CGT, China secured 2.6 million CGT, achieving a dominant market share of 59% and taking a clear lead. South Korea remained in second place with 1.29 million CGT (29%), while Japan recorded 290,000 CGT (7%).

China's lead in orders continued in the cumulative figures for January to April this year. Based on the unrevised data, the total global orders for this period reached 12.59 million CGT (372 ships), a 50% decrease compared to the same period last year. Of this, China accounted for 6.82 million CGT (215 ships, 54%), and South Korea for 2.8 million CGT (57 ships, 22%). Although both countries saw their performance drop by about half compared to last year, the gap remains substantial.

As of the end of last month, the global order backlog stood at 160.46 million CGT, a decrease of 1.93 million CGT from the previous month. By country, China held 94.67 million CGT (59%), and South Korea had 35.57 million CGT (22%). South Korea's backlog decreased by 380,000 CGT compared to the previous month and by 3.62 million CGT year-on-year, whereas China's backlog increased by 23.74 million CGT year-on-year, showing a contrasting trend.

Industry experts point to the expansion of domestic orders as the main reason for China's strong performance in securing orders. According to an industry official, 33.4% of the orders China received last month are estimated to have come from domestic sources. Choi Kyujong, Vice Chairman of the Korea Offshore and Shipbuilding Association, said, "Despite the ongoing US-China tensions, China continues to secure orders because a significant portion comes from domestic demand," adding, "The impact of US measures to contain China may begin to be reflected from next month onward, so it is something to watch closely."

This content was produced with the assistance of AI translation services.