The global shipbuilding market is suffering from an unprecedented crisis as demand for new ship orders has dropped by 58.3pc during the first half of the fiscal year 2020 (H1).
The China and Iron Steel Association quoted Clarkson Research Service’s latest report which revealed that new ship order turnover dropped to 2955.75 CGT, the lowest in almost a century.
During the January-June period, only 269 new ship orders were received globally, which is about 5.75mn CGT in total. The report also said that the industry has been showing a downward trend since last couple of years.
Chinese shipbuilders received 61pc of global new ship orders, or 3.51mn CGT equalling 145 ship orders in the Jan-Jun period.
In June, Chinese shipyards secured 16 new ship orders of 460,000 CGTs, holding 37pc of the total. South Korean shipbuilders booked 37 new ships of 1.18mn CGT and Japanese shipbuilders with 36 new ships of 570,000 CGTs.
Global new shipbreaking orders in total were about 36 ships of 820,000 CGTs, rising by 26pc from the prior month, however, down by 51pc from the prior year.