Korean Shipbuilders Achieve 38% Order Share in November, Driven by High Value-Added Vessels

Global Ship Orders Surge 72% from Previous Month
Cumulative Orders Down 37% Year-to-Date, China Maintains Lead
Korea's Order Volume per Vessel Hits 49,000 CGT, Double That of China

In November, the Korean shipbuilding industry performed relatively well, focusing on high value-added vessel types amid a global recovery in ship orders. While orders increased significantly compared to October, the total order volume remains low, resulting in a substantial year-to-date decline. China continues to lead in absolute volume. However, Korea maintains its competitiveness in high value-added ships, with its order volume per vessel nearly double that of China.

According to Clarkson Research on December 5, global ship orders in November reached 5.13 million CGT (152 vessels), a 72% surge from the previous month's 2.99 million CGT. However, compared to the same month last year (5.17 million CGT), this represents a 1% decrease, indicating a similar level. CGT (Compensated Gross Tonnage) is an index that reflects both the size and the construction complexity of ships.

Liquefied natural gas (LNG) carriers filling the yard dock at Hanwha Ocean Okpo Shipyard in Geoje, Gyeongnam. Photo by Kang Jin-hyung

By country, China ranked first with 2.58 million CGT (100 vessels), capturing a 50% market share. Korea secured 1.97 million CGT, accounting for a 38% share. Although Korea's order count was lower than China's, its order volume per vessel stood at 49,000 CGT, nearly twice that of China (26,000 CGT). This is attributed to Korea securing more high value-added and technically demanding vessels such as liquefied natural gas (LNG) carriers.

From January to November this year, cumulative global orders totaled 44.99 million CGT (1,627 vessels), a 37% decrease compared to the same period last year (71.52 million CGT). During the same period, Korea recorded 10.03 million CGT (223 vessels, 22%), while China posted 26.64 million CGT (1,067 vessels, 59%). Both countries saw declines, but China experienced a particularly steep drop of 47% year-on-year.

As of the end of November, the global order backlog stood at 168.4 million CGT, down 1.2 million CGT from the previous month. By country, China held 103.69 million CGT (62%), and Korea had 33.76 million CGT (20%). Compared to the previous month, Korea's backlog decreased by 420,000 CGT, while China's declined by 10,000 CGT. Compared to the same period last year, Korea's backlog dropped by 3.66 million CGT, whereas China's increased by 8.48 million CGT.

Ship prices remained stable. The Clarkson Newbuilding Price Index was 184.33, a slight decrease of 0.54 points from October (184.87). This is 47% higher than in November 2020 (125.06). By vessel type, LNG carriers were priced at 248 million dollars, very large crude carriers (VLCC) at 127.5 million dollars, and ultra-large container ships (22~24k TEU) at 264 million dollars.

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