South Korea secured the most global shipbuilding orders in March, surpassing China to take the top spot. According to U.K.-based Clarkson Research on April 4, South Korea received 820,000 CGT (55%) of the global total of 1.5 million CGT (58 ships) in orders last month, claiming the top spot over China, which secured 520,000 CGT (35%). Compensated gross tonnage (CGT) measures the actual workload in shipbuilding.
While South Korea and China each won orders for 17 and 31 ships, respectively, South Korea led in CGT due to its focus on high-value, large ships, while China concentrated on smaller vessels. Rankings can vary each month depending on the types of contracts signed. In February, for instance, China took the lead with 2.63 million CGT (70%), compared to South Korea’s 340,000 CGT (9%).
For the first three months of this year, China maintained its lead with a 49% market share, while South Korea had 27%. Over the past five years, China has consistently dominated with a 50% share in the first quarter. South Korea’s share dropped from 36% in 2021 to 27% this year.
The shipbuilding industry remains hopeful for South Korea’s growth, as the U.S. Donald Trump administration introduces tighter regulations on Chinese-built ships. The U.S. Trade Representative (USTR) is considering a plan to impose fees of up to $1.5 million on Chinese ships entering U.S. ports. This could push shipping companies to turn away from Chinese vessels, providing a potential boost for South Korea. Clarkson reports that last year, China claimed a dominant 70% share of global ship orders, followed by South Korea (16%) and Japan (6%).
