A growing gap between the price of new and secondhand containerships is discouraging new orders in the sector, Barclays Capital says.
Analyst Jon Windham notes boxship newbuilding prices have fallen by 8% year-on-year while a secondhand vessel is 44% cheaper than it was a year ago.
“Secondhand container vessels are now offering a 55% discount to newbuild vessels, after adjustment of depreciation, which may further discourage order flow to container vessels,” the analyst said in a weekly report.
According to Barclays’ numbers, the global containership orderbook is worth $46bn, of which $28bn is on order at South Korean shipyards.