Mester Commercial News Feed

Shipbuilding Industry Breaks Slow Performance Cycle With Record Orders

The global pandemic has had an unusual impact on the shipbuilding industry with thriving business and record break orders stacking up towards the end of the third quarter. The skyrocketing orders have managed to break the cycle of slow performance by the sector, which had lasted for more than a decade.

The orders for container vessels are being placed at an increased frequency, almost weekly. By the end of August, the orders in terms of the total TEU capacity had reached 5.3 million, according to industry association BIMCO. The association also expects the tally to cross an all-time high of 6.8 million TEUs recorded in July 2008 by the end of the year, along with the addition of 300,000 TEUs in September.

According to the latest reports by Clarkson Research, the volume of orders based on gross tonnage, placed during the first three quarters of 2021 has been a whopping twelve times the volumes of orders placed during the same time frame last year.