SEOUL, May 8 (AJP) - South Korea's share of global ship orders fell sharply in April despite a rebound in global ship orders, as China swept up a far larger portion of new contracts, according to data released by London-based Clarkson Research Services on Friday.
Global ship orders for the month totaled 6.49 million compensated gross tons (CGT) or 204 vessels, up 21 percent from a year earlier.
South Korea secured just 16 percent of global orders or 1.05 million CGT across 33 vessels, while China dominated new contracts with 67 percent or 4.37 million CGT across 156 ships, more than four times South Korea's volume.
China also maintained its lead in the order backlog. As of the end of April, the global backlog rose 1.12 million CGT from the end of the previous month to 194.18 million CGT. China accounted for 124.25 million CGT or 64 percent, while South Korea held 37.02 million CGT or 19 percent.
Vessel prices, however, continued to climb, with Clarksons' index measuring the cost of building new ships rising 1.34 points from the previous month to stand at 183.41. The index tracks prices for newly built ships and serves as a measure of shipbuilders' profitability.
The price of a liquefied natural gas (LNG) carrier with a capacity of 174,000 cubic meters or more was US$248.5 million per ship. A very large crude carrier was priced at $130.5 million, while an ultra-large container ship cost $260.5 million.
Industry observers said that China has expanded overall volume, while South Korea has focused on high-value vessels such as liquefied natural gas (LNG) carriers and eco-friendly ships.
But as China races ahead in volume, the real test for South Korea shipbuilders would be whether they can remain competitive and profitable in the high-value ship market.
Global ship orders for the month totaled 6.49 million compensated gross tons (CGT) or 204 vessels, up 21 percent from a year earlier.
South Korea secured just 16 percent of global orders or 1.05 million CGT across 33 vessels, while China dominated new contracts with 67 percent or 4.37 million CGT across 156 ships, more than four times South Korea's volume.
China also maintained its lead in the order backlog. As of the end of April, the global backlog rose 1.12 million CGT from the end of the previous month to 194.18 million CGT. China accounted for 124.25 million CGT or 64 percent, while South Korea held 37.02 million CGT or 19 percent.
Vessel prices, however, continued to climb, with Clarksons' index measuring the cost of building new ships rising 1.34 points from the previous month to stand at 183.41. The index tracks prices for newly built ships and serves as a measure of shipbuilders' profitability.
The price of a liquefied natural gas (LNG) carrier with a capacity of 174,000 cubic meters or more was US$248.5 million per ship. A very large crude carrier was priced at $130.5 million, while an ultra-large container ship cost $260.5 million.
Industry observers said that China has expanded overall volume, while South Korea has focused on high-value vessels such as liquefied natural gas (LNG) carriers and eco-friendly ships.
But as China races ahead in volume, the real test for South Korea shipbuilders would be whether they can remain competitive and profitable in the high-value ship market.
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