China is rapidly entering the market for new tankers liquefied natural gas (LNG)because the demand for these specialized vessels from local and foreign shipowners is very high – after all, the South Korean shipyards, which dominate the world stage for these tankers, have been fully booked for several years. It is worth noting that record orders for 2022 were provided by three Chinese shipyards. In particular, in the context of orders for 163 new gas carriers at the international level, 30% were covered by three shipyards, of which only one has experience in this matter. Orders for tankers at Chinese shipyards have tripled as Chinese gas traders and operators of such fleets struggled to ensure its smooth transportation, especially after freight rates skyrocketed as a result of disruptions to global energy flows due to Russia’s invasion of Ukraine. Due to the busy South Korean shipyards, Chinese shipyards have also attracted more foreign orders, including the first international orders for shipyards that have just received the appropriate certificate for the construction of liquefied natural gas tankers, Reuters news agency reported. . “As more and more Chinese gas traders are employed at local shipyards, they will be forced to develop the entire industry of this kind,” emphasizes Li Yao, founder of Beijing-based SIA Energy.

Chinese shipyards have received about $9.8 billion in orders for LNG tankers this year, about five times more than in 2021.

Chinese shipyards have won 45 LNG tanker orders worth about $9.8 billion this year, about five times more than in 2021, according to shipping industry data firm Clarksons Research. By the end of November, Chinese shipyards had increased their LNG tanker orders, accounting for 21% of global orders worth about $60 billion. By comparison, Chinese shipyards have built just 9% of the world’s existing LNG fleet, according to Clarksons. Shanghai-based Hudong-Zhonghua Shipbuilding is the only Chinese shipyard with experience building large LNG carriers since 2008. This year, she received 75% of China’s total new orders. Among them were local orders from shipowners: in particular, according to Clarksons and industry officials.

Two other shipyards – China Merchants Heavy Industry (CMHI) and Yangzijiang Shipbuilding (YAZG.SI) – this year for the first time received a certificate for the construction of large gas carriers and aroused interest among local and foreign shipbuilders. LNG tankers, like aircraft carriers, are among the most difficult ships to build, taking up to 30 months to build. For membrane-type tanks alone, 200 workers are involved in two months, welding thin steel enclosing walls and connecting lines 130 kilometers long. The workers of these systems for storing refrigerated gas at minus 160 degrees Celsius for transportation must also be certified by the French engineering company Gaztransport & Technigaz, which owns patents and licenses from shipyards to use its developments.