Shipping
SHIPOWNERS DOUBLE CONTAINER SHIP ORDER BOOK IN 2021
August 27, 2021
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BIMCO, the largest shipping association, said as a result of very healthy shipowner bottom lines and carriers experiencing a lack of tonnage, 619 container ships are now on order for future delivery.

 

In a statement, it said that of those, 381 have been ordered in 2021 alone and never has 3.44 million TEU been ordered in such a short time span — although the record orderbook at 6.8 million TEU on order happened in July 2008, compared to 5.3 million TEU by late-August.

 

“Today the container ship order book holds 5.3 million TEU of shipping capacity which is scheduled to be added to the fleet from 2023 and onwards. Entering 2021, the order book stood just at 2.5 million TEU. Since then, a record high 3.3 million TEU has been ordered, indicating that shipowners are going big on investing in new capacity,” said Peter Sand, BIMCO’s Chief Shipping Analyst.  

 

16,000 TEU ship the most popular on order

 

BIMCO said in February, March, April and June, a total of 60 container ships with a cargo carrying capacity of 16,000 TEU each were ordered by just five different owners.

 

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“It is very much a sign of the times too; you go big, or you don’t go at all. You order four, five or six ships, or as much as 20 units, in one go, and at one yard only. The buying power when you spend US$2.5 billion is significant,” Sand added.

 

As owners have observed different trade patterns forming in recent years, and still do, due to the US-China trade war and the COVID-19 outbreak, the more “versatile” 13,000-16,000 TEU ships have been preferred to the Ultra-Large Container Ships (ULCS), he added.

 

No more than 22 ULCS was ordered during the first seven and half months of 2021. In February, 14 units of 24,000-24,100 TEU ships were ordered and in June, another eight units of 23,500-24,000 TEU followed.

 

Fitting a scrubber popular too

 

BIMCO noted that in particular for the larger ships, fitting a scrubber is popular too to lower their voyage costs the most from consuming the less costly heavy-sulphur fuel oil (HSFO).

 

It said out of the 168 ordered container ships year-to-date, with a capacity of at least 11,800 TEU, 117 will be delivered with a scrubber fitted directly from the shipyard (71%).

 

A total of 29 units will be scrubber-fitted but also made LNG-ready, whereas 34 units will be delivered as “LNG-capable”, meaning that they will run on gas from day one.

 

BIMCO said container shipping capacity of 1.5 million TEU has been ordered so far in 2021 for delivery in each of the years 2023 and 2024.

 

“In addition to orders for container ships, we have also seen some liner companies securing air cargo capacity for the short and longer term. To me that is in interesting development, as it indicates that liners are serving shippers to a greater extent than before by moving more cargo in different ways going forward,” Sand added.