Samsung Heavy, Wins Order for 5 LNG-Fueled Container Ships Worth 794.2 Billion KRW

[Asia Economy Reporter Hwang Yoon-joo] Samsung Heavy Industries announced on the 9th that it has secured orders for five ultra-large 15,000 TEU-class LNG-fueled container ships worth a total of 794.2 billion KRW from shipowners in the Asia region. The vessels are scheduled to be delivered sequentially by January 2024.

Including this contract, Samsung Heavy Industries has secured a total of 19 ships worth 2.4 billion USD this year. It has achieved 31% of its 7.8 billion USD target even before the first quarter ended, steadily progressing toward its order goals.

This is due to the increasing demand for ships in response to the global economic recovery expectations at the beginning of the year, decarbonization policies, and environmental regulations, with Samsung Heavy Industries leveraging its construction technology and experience in LNG-fueled vessels to continuously achieve order successes.

In fact, among the 19 ships Samsung Heavy Industries has secured this year, 14 are LNG-fueled vessels, accounting for the majority (74%), and their prices are 10-20% higher than those of conventional ships, contributing to the increase in order amounts.

A Samsung Heavy Industries official explained, "Our efforts in strengthening LNG-related engineering capabilities and establishing demonstration facilities for technology development are becoming visible," adding, "Samsung Heavy Industries holds the largest record of LNG-fueled ship orders and has a healthy order backlog, so continuous construction effects are expected."

Meanwhile, Samsung Heavy Industries has secured orders for 36 LNG-fueled vessels to date (26 crude oil carriers and 10 container ships), holding the No. 1 position worldwide with a 31% market share. Specifically, in the crude oil carrier market, Samsung Heavy Industries is effectively dominating the market, building one out of every two LNG-fueled crude oil carriers ordered worldwide (57% market share).