In its latest weekly report brokers Banchero Costa report that Japanese yards have unilaterally decided to stop producing ships with Tier II engines.
The news presents “interesting perspectives” for rival shipbuilders in neighbouring South Korea and China, Banchero Costa noted.
Both Banchero Costa and Allied Shipbroking are reporting a notable order by Japan’s Doun Kisen for ultramaxes with the Japanese owner eschewing contracting on home soil and choosing China instead where Tier II engines are still on offer. Doun Kisen has placed an order for two firm 63,000 dwt bulkers plus two options at Nantong Xiangyang Shipbuilding in the first half of 2020. Allied puts the orders down at $24m per unit.