Shipbuilding orders reached 120 million tons in the first half of the year Diversified 亞 shipbuilding supply lines to block Hormuz New orders for large oil tankers, China’s reflective profits
Chinese shipbuilders are enjoying reflective profits as crude oil supply lines are diversified in the aftermath of the war between the U.S. and Iran. After the blockade of the Strait of Hormuz, ship owners who want to import crude oil from the Atlantic Ocean and the United States have placed orders for large oil tankers ...
Chinese shipbuilders are experiencing significant profits due to the diversification of oil supply routes following the U.S.-Iran conflict. The Strait of Hormuz, a crucial oil trade route, was blocked, prompting ship owners to place orders for large oil tankers to import crude oil from the Atlantic Ocean and the United States. According to data from the China Ship Industry Association, Chinese shipbuilders received new orders totaling 1210.6 million tons in the first half of the year, which is 2.7 times higher than the same period last year.
This surge has increased China's share of global new orders to 82%, making China the leading player in the global shipbuilding market. The world's largest shipbuilder, China Ship Group, saw its new orders reach 22.45 million DWT in the first half of the year, more than double compared to the previous year. Hengli Heavy Industries, a private Chinese shipbuilder, also won 207 orders in the first half of the year, surpassing last year's annual orders by a significant margin.
Analysts suggest that the U.S. airstrike on Iran triggered this surge in the Chinese shipbuilding industry. With the Strait of Hormuz blocked, many ships are unable to leave the Persian Gulf, pushing ship owners to diversify their suppliers by ordering large oil tankers for long-distance transport to Chinese shipbuilders. BIMCO, a Danish shipping industry group, reported that contracts to build oil tankers worldwide hit an all-time high in July on an annual basis.
The surge in orders to Chinese shipbuilders is seen as a response to the complex geopolitical situation, as the U.S. struggles to regain its shipbuilding competitiveness since World War II. According to the U.S. Naval Intelligence Agency, U.S. shipbuilders' production capacity is only 0.5% of China's, which is 23.25 million GT. Despite President Trump's efforts to revive the U.S. shipbuilding industry during his State of the Union address, the U.S. remains far behind its global competitors.
Written by urgent.news from Hellenic Shipping News's reporting — not their text. Machine-written — may contain errors; check the original before relying on it.
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