Along with the falling new ship orders, more and more shipbuilders run under the production capacity.
It is reported that along with the falling new ship orders, more and more shipbuilders run under the production capacity. Many shipbuilding enterprises even did not receive any orders after the worldwide economy crisis. According to statistics from China Association of the National Shipbuilding Industry, China new ship order during January to October fell by 63%YoY much smaller than the Q1 decrease of 95.6%.
In October, only China Shipbuilding Industry Corporation and China State Shipbuilding Corporation received new orders reaching 2.19 million DWT totally. CSIC received 6 VLCC amounting to 1.91 million DWT. And CSSC received 288,000 DWT.
Though the shipping industry faces a lot of challenges and difficulties, Chinese shipbuilding industry still keeps on the top. An experts refused to be identified stated that the transportation overcapacity and the shipbuilding industry overcapacity would be obstacles to the recovery in global shipbuilding industry.