This year saw an ordering spree for LNG carriers amid spiking demand for LNG driven primarily by the ongoing geopolitical turbulence in Europe as the EU battles to break away from dependence on Russian gas instigated by Russia’s war in Ukraine.
A total of 162 new orders have been placed so far this year, compared to 99 orders placed in 2021, an increase of c.63% year on year, data from VesselsValue as of the end of November shows.
The value of LNG newbuilding orders placed so far this year is $33,742.89 mil, an increase of c.87% from $18,076.25 mil.
Of these orders, just over a quarter were placed by Japanese companies including MOL, NYJ and Meiji Shipping, with 44 contracts inked. Out of the top ship-owning nations, Japan owns the highest value fleet for LNG vessels at $ 30.3 bn. South Korea ranked second with 28 orders placed this year, followed by Greece with 21 orders.
MOL is the world’s largest owner of LNG carriers, with a fleet of 38 vessels and a value of $ 6.2 bn.
Over the course of 2022, MOL has placed 19 newbuilding orders for LNG vessels, this is the second largest number of orders by an individual company, NYK ranked first with 20 newbuilding orders, data from VesselsValue shows.
However, Chinese shipbuilders are right behind their Korean rivals as they build-up construction capacity and know-how in the gas sector to reap fruit from stellar demand.
Data from Clarksons shows that Chinese shipyards this year won 45 LNG tanker orders worth an estimated $9.8 billion, about five times their 2021 order values. What is more, by late November, Chinese shipbuilders’ LNG orderbooks grew from 21 to 66, giving them 21% of global orders worth around $60 billion.