Newbuilding price has decreased by a small margin from the early this year, however, Chinese yards' low-price newbuilding negotiation pressures newbuilding price further down.
Japanese shipbuilders aim to differentiate with their high-efficiency ship. But it seems next to impossible to win new order except a few yards inter-related with shipping company, since China offers out-of-bounds low newbuilding price.
Japan Ship Exporter’s Association (JSEA) revealed that Japan's newbuilding order during July-September period was 1.07m cgt, sharply down by 70% on the same period last year.
A lot of Japanese yards are restless with less than two-and-a-half-year newbuilding schedule at the moment, however, give careful consideration to avoid red new order.
Meanwhile, in case of Chinese shipbuilders, pelting with price competitiveness, only some yards win new order and market forecast next year would have more yards to fall behind.
China's new order for September plunges to 940,000 dwt, down by 85% on the same month last year.