April 20, 2024
Industrials
Top shipbuilders face gloomy outlook in 2017
[THE INVESTOR] South Korea‘s three majors shipbuilders are forecast to get much fewer orders next year, industry sources said on Dec. 27.
In the face of a global vessel glut and fiercer competition from Chinese rivals, the three shipyards -- Hyundai Heavy Industries, Samsung Heavy Industries and Daewoo Shipbuilding & Marine Engineering -- are struggling to set their order targets for next year, according to the sources.
Industry leader HHI has reportedly set its 2017 order target at a level similar to this year’s US$9.5 billion.
In the first 11 months of this year, the shipyard bagged contracts worth $7.1 billion, much lower than its goal of $19.5 billion set at the start of the year.
DSME is shooting for a 2017 order number that is similar to this year’s goal of $6.2 billion. At the start of the year, the troubled shipyard aimed to win orders worth $10.8 billion this year but was forced to cut the figure in June.
Samsung Heavy is expected to set its 2017 order target at a level that is slightly higher than $5.3 billion for this year, as the company is likely to clinch a 3 trillion-won ($2.50 billion) order for the construction of a floating LNG unit from Italian petroleum giant Eni early next year.
(theinvestor@heraldcorp.com)
In the face of a global vessel glut and fiercer competition from Chinese rivals, the three shipyards -- Hyundai Heavy Industries, Samsung Heavy Industries and Daewoo Shipbuilding & Marine Engineering -- are struggling to set their order targets for next year, according to the sources.
Industry leader HHI has reportedly set its 2017 order target at a level similar to this year’s US$9.5 billion.
In the first 11 months of this year, the shipyard bagged contracts worth $7.1 billion, much lower than its goal of $19.5 billion set at the start of the year.
DSME is shooting for a 2017 order number that is similar to this year’s goal of $6.2 billion. At the start of the year, the troubled shipyard aimed to win orders worth $10.8 billion this year but was forced to cut the figure in June.
Samsung Heavy is expected to set its 2017 order target at a level that is slightly higher than $5.3 billion for this year, as the company is likely to clinch a 3 trillion-won ($2.50 billion) order for the construction of a floating LNG unit from Italian petroleum giant Eni early next year.
(theinvestor@heraldcorp.com)
