Yangzijiang Shipbuilding year to date order wins hit US$1.03 billion, outstanding order book reaches US$22.3 billion

[SINGAPORE] Yangzijiang Shipbuilding has secured US$1.03 billion in new orders for the year to date, bringing its outstanding order book to US$22.3 billion, the group said in a first-quarter business update on Tuesday (May 19).

The order wins bring the shipbuilder closer to its target of US$4.5 billion for the 2026 financial year, despite geopolitical tensions weighing on sentiment in the global shipbuilding market.

The newly secured contracts comprise 24 vessels, largely consisting of small to mid-sized ships.

These include 19 container ships, four oil tankers and one bulk carrier. The group’s outstanding order book stands at 252 vessels, with clean-energy vessels making up 69 per cent of the total value.

Container ships remain the dominant vessel type in the order book, accounting for 146 vessels valued at US$16.41 billion.

This is followed by 26 liquefied petroleum gas and other gas carriers at US$2.36 billion, 38 oil tankers at US$1.91 billion, and 42 bulk carriers at US$1.62 billion.

The group has delivered 17 vessels so far this year, completing 29 per cent of its delivery target of 58 vessels for FY2026.

Executive chairman and chief executive Ren Letian said that the recent escalation in geopolitical tensions has caused some customers to turn cautious on fresh newbuild discussions, although contracts already in advanced negotiations have not been affected.

“Our production and vessel delivery schedule remains on track year to date,” he noted.

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“The group remains well-positioned to capture demand as market needs evolve. Our focus remains firmly on filling the remaining 2029 delivery slots and progressively opening up capacity for 2030.”

In March, the shipbuilder announced that it would acquire a 10 per cent stake in Poseidon Corp, the parent of container ship owner and operator Seaspan Corporation, for US$825.7 million.

Subject to requisite approvals, the proposed acquisition is expected to strengthen customer relationships and enhance visibility into long-term market demand, Ren pointed out in the business update.

For its shipping segment, the group’s fleet portfolio stood at 31 vessels. In the first quarter of 2026, the segment disposed of three bulk carriers and added one.

The company also provided an update on its capacity expansion plans.

The construction of its Hongyuan yard project, which entails a total capital expenditure of three billion yuan (S$565 million) and will add about 866,671 square metres of yard space, is scheduled for completion by the end of 2026.

Meanwhile, the construction of its liquefied natural gas terminal business, with a total investment of about two billion yuan, is slated for completion by the first half of 2027.

Shares of Yangzijiang Shipbuilding closed S$0.02 or 0.5 per cent higher at S$3.94 on Tuesday, before the announcement.