News / Feeder segment still driving the newbuild box ship orderbook

Feeder ships and mid-sized vessels this week were again the focus of newbuilding orders.

Linerlytica said this week that new containership orders continued to ratchet upwards, the orderbook reaching 32.2%, and planned deliveries will hit 2.9m teu in 2027 and 3.8m teu in 2028

Tonnage provider Danaos has returned to Dalian Shipbuilding for a 7,100 teu pair for $180m. The methanol-ready ships are expected to be delivered in late 2027. The charterer has, however, not been disclosed.

Chinese upstart operator Chenxin Shipping has made its ship-owning debut with orders for two 4,350 teu and two 1,900 teu ships at Yangzhou Wanlong for delivery in 2028. The 4,350 teu ships are said to cost around $60m each, while the 1,900 teu ships are priced around $30m each.

Chenxin specialises in routes connecting China to the Middle East, Turkey and the Indian subcontinent, joining a number of compatriot opportunistic operators that capitalised on the vacuum left by mainline operators that avoided Red Sea transits following the Houthi attacks. Currently, Chenxin is operating through purchasing slots from other operators.

Chenxin’s newbuilding orders are also a milestone for Yangzhou Wanlong as these will be the largest box ships it is constructing. Previous constructions were all feeder ships of less than 2,000 teu.

Finally, South Korean feeder operator Dongjin Shipping has ordered newbuildings for the first time in three years: three 1,100 teu ships at Yangzijiang Shipbuilding for about $23m each, to be delivered in 2027 and 2028.

It is Dongjin’s first newbuilding order in China, and the company joins its peers in pivoting to yards that are offering lower prices than those in South Korea.

Dongjin offers liner services between South Korea, China and Japan. Its last newbuilding order was in 2021, when it contracted HD Hyundai Mipo to build a 1,800-teu vessel.

An ageing feeder vessel fleet and rising cargo volumes in regional routes, especially intra-Asia lanes, are spurring liner operators and tonnage providers to renew their fleets.

MB Shipbrokers anticipates that several letters of intent, both in the feeder segment and in larger size ranges, may begin to firm up in the near future as owners continue to engage actively with Chinese and South Korean yards.

The Danish brokerage said: “The feeder segment continues to drive the overall momentum, supported by steady enquiry and multiple ongoing discussions that appear to be progressing toward conclusion.”