Ship owners have kept on investing in newbuildings during the course of the past week, but the pace of orders has declined compared to the recent past. According to Clarkson Hellas, ordering this week has primarily focused in the dry bulk market and more specifically on the smaller Handysize and Supramax sectors, apart from a single Panamax order and the declaration of some Capesize options.
In a separate report on the newbuilding activity this week, Piraeus-based shipbroker Golden Destiny said that "containers appear in the frontline for the first time since the beginning of the year by showing stronger volume of new orders than bulk carriers and tankers. The post panamax ordering spree of major shipping players, 3 boxhsips of 16,000 TEU by French CMA CGM, 5 boxships of 18,000 TEU and 5 of 14,000 TEU by United Arab Shipping Company astonishes at it comes in contradiction with the current slumping freight market.
Overall, the week closed with 45 fresh orders reported worldwide at a total deadweight of 4,058,940 tons, posting 38% week-on-week decline from previous week, with containers holding 49% share of the total volume of new orders, bulk carriers 26%, tankers 13% and special projects 8.8%. This week’s total newbuilding business is up 221% from similar week’s closing in 2012, when 14 fresh orders had been reported, 2 bulkers, 2 tankers, 2 gas tankers, 1 liner and 7 special projects. In terms of invested capital, the total amount of money invested is estimated in region of more than $2,9 bn with 17 newbuilding contracts reported at an undisclosed contract price. A hefty amount of money is invested in the container segment with an invested capital of more than $1,9bn for 22 new orders and special projects follow with 4 new orders for an invested capital of more than $800mil due to the construction of high valued jack up rig and semi submersible drilling rig", Golden Destiny said.
According to Clarkson Hellas, in the dry bulk market, "starting with the Capes and taking its total orderbook at the yard to 12 firm vessels, we understand that Clients of Frontline 2012 have declared four further options for 180,000 DWT bulk carriers at SWS. Delivery of these latest vessels is scheduled towards the end of 2015 and into the first half of 2016. It was also reported that Tai Chong Cheang S.S. has declared an option for the second in a series of 76,500 DWT Panamax bulkers at Imabari’s Marugame facility. Although pricing was undisclosed, delivery of the vessel is understood to be due in June 2015.
In the smaller sizes, domestic owner Baoyuan International (HTM) has placed an order for two firm SDARI design 64,000 DWT Supramax at Chengxi Shipyard in China. These are understood to be priced in the low USD 25s Mill per vessel, with delivery in 2015. Further new contracts to report at Imabari with Belships ASA contracting two firm 61,000 DWT Supramax at the yard. Pricing is understood to be in the region USD 28 Mill with delivery in late 2015 and early 2016. Onto the Handysizes and AVIC Weihai is understood to have taken orders for up to 6 Handysizes including 3 options. Visentini Giovanni Transporti were reported to have placed contracts for 2+2 38,000 DWT bulk carriers at the yard with delivery of the firm vessels in the first half of 2015 and options later in 2015 if declared. Globeco placed a smaller order for 1+1 38,000 DWT Handys, again for delivery in 2015. For all these orders, contracts are understood to have been signed around 3 weeks ago with pricing around USD 20 Mill per vessel. Lastly in Dry, Clients of Fednav Ltd. were reported to have extended their Handysize orders at Oshima Shipbuilding to a total of 12 vessels, with the addition of six firm 34,000 DWT Ice Class Handysize bulkers. Delivery of the latest six contracts is lined up for 2015", said the shipbroker.
According to Golden Destiny, in the tanker segment, "lower volume of new orders was also reported compared with last week’s highs, down by 79% from previous week, with 2 new orders in the aframax segment by Tai Chong Steamship of Hong Kong at Namura Shipbuilding of Japan and 4 new orders for product/chemical vessels of 50,000dwt by USA player American Petroleum Tankers.
In the container segment, all the activity is being in the post panamax size, 13 of the 22 new orders are reported for vessel sizes of more than 10,000 TEU and 5 new orders for boxships of less than 9,000 TEU. Overall, the volume of new orders is up by 450% from previous week with South Korean yards winning 13 of the 22 new orders and China 4", the shipbroker concluded.