Wednesday, September 28, 2022
Maritime Propulsion

April 23, 2019

LNG-Ship Orders to Dominate Newbuilds in 2025

About 60.3 percent of the world’s ship orders are projected to be for liquefied natural gas (LNG)-fueled vessels by 2025.

"Ships powered by LNG are expected to account for six out of 10 new vessel orders in six years due to toughened environmental standards," said a report in Pulse News.

A study report released by Korea Development Bank and Korea Trade-Investment Promotion Agency said that that as many as 1,962 new LNG carriers would be built by 2025. It also expected demand for LNG bunkering vessels to jump more than tenfold, from 313,000 tons in 2016 to 3.2 million tons in 2030.

On condition that Korean shipbuilders would be responsible for building more than 60 percent of the world’s large LNG-fueled vessels, the study estimated the domestic market for LNG vessel equipment to expand to 12 trillion won ($10.5 billion) in 2020 from 3 trillion won in 2017.

The study, based on data from the global shipping and shipbuilding research firm Clarksons and the U.K. marine industry classification society Lloyd’s Register, said that the ship equipment market mostly consists of small- and mid-size businesses.

The Korean government vowed to order a total of 140 LNG-fueled vessels by 2025, including two for this year, to help revive the country’s struggling shipbuilding industry.

ClarksonsKorea Development BankKorean government