More and tougher environmental rules make South Korea’s biggest yards raise their targets for new ship orders, a growth expected to be driven by the green transition, reports media Yonhap.
The most ambitious of the three is Korea Shipbuilding & Offshore Engineering Co., KSOE, which expects that the yard’s three units can secure orders for USD 14.9 billion in 2021, close to 50 percent more than in the past year.
In 2020, KSOE, which covers Hyundai Heavy Industries Co., Hyundai Mipo Dockyard Co. and Hyundai Samho Heavy Industries Co., secured orders totaling USD 10 billion for 116 ships.
Samsung Heavy Industries’ target is for new orders totaling USD 7.8 billion, which corresponds to an increase of 42 percent from 2020.
At Daewoo Shipbuilding & Marine Engineering Co., the target for 2021 is new ship orders for USD 7.7 billion. The new targets should be seen in light of a tough 2020 in which the yard sector was strained by the coronavirus pandemic, which made shipowners cling to their money and refrain from placing new orders. This also means that many of the yards were unable to meet their targets for the year. And the green transition has been a challenge for shipowners, as orders for new ships require them to make decisions about which directions, in terms of environmental measures, to pursue with their orders.
Source : Shipping Watch
