Japanese newbuilding orders sink again

Japanese export ship orders continue to decline and, for the 12th consecutive month in September on a year-on-year basis, tumbled 75.5 % to 543,500 gt, according to figures released by the Japan Ship Exporters’ Association.

The September figures confirmed that there is no sign yet of the long-awaited recovery in ship owners’ flagging demand for new vessels. Last month, Takao Motoyama, chairman of the Shipbuilders’ Association of Japan, painted a gloomy picture of the industry, saying, “We have to prepare ourselves for a continued slump in new shipbuilding orders for some time to come.” Motoyama is also chairman of Mitsui Engineering and Shipbuilding Co.

The nation’s export ship orders started to plunge in October last year and, in September, Japanese shipbuilders received orders for only six export ships, i.e. three bulk carriers totalling 102,900 gt and three oil tankers totalling 440,600 gt.

During the January-September period of this year, Japanese shipbuilders received orders for 86 export ships totalling 4.5 million gross tons, down by 75.2% from the same nine-month period of last year.

Of the 86 ships, 63 are bulk carriers totalling 2.5 million gross tons, 18 are oil tankers totalling 1.7 million gross tons, three are general cargo vessels totalling 216,000 gross tons and the remaining two are other ship types totalling 14,000 gross tons.