Chinese shipyards will continue to construct more newbuildings in the tanker, dry-bulk and container segments although there is a surplus of tonnage in market and the global economic slowdown, said DNB.
At the DNB investors conference in Singapore, "The Chinese will do what is in their power to make sure that [new] orders will come in. These measures could be market distorting," said Philip Clausius, CEO of First Ship Lease Trust.
Also, He added that it is difficult to predict how much further newbuild prices would fall.
There were also worries about various governments offering support to shipbuilding yards, which will lead to buyers more attractive to newbuildings, saying "The Chinese state will have tonnage directed to state-owned yards. For private yards, the incentive to take new orders is reduced. So this will create a floor for the new building price over the next couple of years."
Although China saw a 52% fall in orders for new ships in 2011 from levels seen in 2007, it was still the world's largest shipbuilder, accounting for 41% of the global share.
Some 350 Chinese shipyards are still actively in business and an estimated 2,000 yards are currently operational in China.