Yangzijiang Shipbuilding Ends 2014 with 13 New Orders

Singapore-listed Yangzijiang Shipbuilding Limited has reported a strong finish to 2014, entering into thirteen new shipbuilding orders in the fourth quarter of the year, including nine effective orders with a total contract value of USD 388 million, and four new options worth an aggregate value of USD 122 million.

This brings Yangzijiang’s order book for 2014 to 41 newbuilding contracts worth USD 1,8 billion in total.  In addition, six outstanding options including two 10,000 TEU container ships, two 36,500 DWT bulk carriers and two 2,700 TEU container ships were carried over to 2015.

Out of the thirteen new orders entered in the fourth quarter, nine were effective orders consisting of two 10,000 TEU container ships exercised from the existing options and seven new shipbuilding contracts consisting of four 36,500 DWT bulk carriers, two 2,700 TEU container ships and one 64,000 DWT bulk carrier. The remaining four were new options for two 36,500 DWT bulk carriers and two 2,700 TEU container ships.

The nine new effective contracts are scheduled for deliveries from 2015 to 2017.

Ren Yuanlin, Executive Chairman of Yangzijiang, said: “Shipbuilding industry in China recovered strongly in the early part of 2014, before it started to lose momentum in the second half year. Half- year’s new orders recorded a strong USD 1.4 billion worth of contracts, and outstanding orders filled up our yard capacity for the next two years. Based on the situation, in the second half of the year we strategically turned more selective on new order taking. We aim to optimize the use of yard resources, and prioritize the orders with more favorable terms, as well as those in line with our strategy to build larger and more efficient vessels.”