Newbuild orders hit 35-year low in 2016
In Clarksons Research’s just published 200-page biannual shipping market report, the London-based outfit paints a grim picture of the markets.
Of note, Clarksons shows how newbuild ordering has slowed to a trickle, with just 296 orders of 12.3m dwt reported in the first eight months of the year, the lowest level of orders for at least 35 years. Ordering in nearly all the sectors is down, with only 83 yards securing orders so far this year (vessels 1,000+ GT), compared to 344 in 2013.
“Further consolidation and reductions in shipbuilding capacity are likely,” Clarksons suggested.
Analysts at the British company said that for the shipping markets as a whole, “further re-calibration of supply and improvements on the demand side appear necessary before a more balanced market can be achieved”.