LNG strengthens foothold as ‘clear choice’ in alternative fuels orderbook

July 2, 2025, by Ajsa Habibic

While the overall newbuild market is experiencing a slower growth rate, the alternative fuels orderbook saw a total of 151 vessels ordered in the first half of 2025, with LNG dominating as the “clear fuel of choice” and accounting for more than half of the orderbook, according to data from classification society DNV.

Numbers on DNV’s Alternative Fuels Insight (AFI) platform show that new orders for alternative-fueled vessels reached 19.8 million gross tonnes (GT) in the first six months of 2025, exceeding the 2024 figure by 78% and indicating that shipowners prioritize future-ready assets in response to regulatory pressure, fuel availability, and long-term decarbonization goals.

The 78% year-on-year growth in GT was marked mainly by activity in the container segment as well as notable orders in the bulker, tanker, and RoPax segments.

“This concentration suggests that some of the industry’s most commercially exposed and operationally complex segments are now leading the charge, reinforcing the view that alternative fuels are no longer a fringe strategy, but a mainstream investment decision,” DNV explained.

According to AFI platform data, LNG is in the lead as the alternative fuel choice, with 87 new vessels ordered, totaling 14.2 million GT so far in 2025. Its dominance prevails in the container segment, with 13.6 million GT (81 vessels).

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Market Outlooks

Next in line is methanol, with 4.6 million GT (40 vessels) ordered across the container, RoPax, tanker, offshore, and car carrier segments.

While still niche, ammonia and hydrogen are also in the play, suggesting early-stage confidence in their long-term potential. Three ammonia-fueled vessels were added to the orderbook, primarily in the tanker and general cargo segments (37,000 GT total). Hydrogen made a return with four vessels (114,000 GT) currently on order.

In line with investments in alternative-fueled ships, the supporting infrastructure is evolving to enable continued adoption.

DNV’s AFI platform shows that, in the first half of 2025, 13 LNG bunkering vessels were ordered, compared to 62 in operation globally, with February marking the strongest month for this segment with eight orders.

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Market Outlooks

Knut Ørbeck-Nilssen, CEO Maritime at DNV, commented: “We’re seeing a broader shift take hold across the industry. The energy transition is no longer driven solely by first movers, it’s now being shaped by a second wave of shipowners who are integrating alternative fuels and technologies into their core strategies. Even in a slower newbuild market, fuel choices are diversifying, and decarbonization is becoming embedded in everyday decision-making. We expect that fuel choices and energy efficiency investments will accelerate as the regulatory framework becomes clearer over the next 4-10 months.”

Jason Stefanatos, Global Decarbonization Director at DNV, added that the data reflects a sector that is “actively recalibrating” along with a “more measured approach to investment—one that balances optionality, compliance readiness, and long-term fuel strategy”.