In an effort to reconstruct the country’s shipbuilding sector, Chinese shipyards plan to take in the region of US$10 billion in LNG tanker orders over the next decade, reported Reuters.
According to estimates from ship safety agency, the American Bureau of Shipping (ABS), China will build up to 50 LNG tankers to deliver gas to its ports.
The plan comes in response to growing pressures placed on China to lower its carbon emissions and use cleaner sources of fuel. As a result, the country is aiming to triple its LNG imports to around 60 million tons.
The move aims to boost China’s future capability in high-tech ships, while challenging South Korean and Japanese shipyards.
Andrew Bridson, business development manager at transport and energy consultant BMT said: “Regardless of the availability in the market for LNG carriers, China will ship the bulk of its cargoes through its own project-dedicated vessels.”
Optimistically, Yang Baohe, principal naval architect at the Marine Design & Research Institute of China said: “In future, our output is going to outstrip that of Japan and Korea.”
According to shipping analysts and consultants, another 100 ships are expected to be ordered for delivery over the 2017-2020 period.