S. Korean shipbuilders overtaken by Chinese rivals in new orders

SEOUL, Oct. 22 (Yonhap) -- South Korean shipbuilders were outpaced by their
Chinese rivals in terms of new orders received in the first nine months of the
year, according to a London-based market researcher Thursday.

Korean shipbuilders such as Hyundai Heavy Industries Co. and Samsung Heavy
Industries Co. won a combined 1.33 million compensated gross tons (CGT) in new
orders in the January-September period, accounting 29.4 percent of all new global
orders, said Clarkson Research Studies, a division of Clarkson PLC, the world's
leading shipping services provider.
New orders at Chinese shipyards totaled 2.42 million CGTs during the cited
period, accounting for 53.5 percent of the total, Clarkson said.
In September alone, South Korean shipyards won 39,500 CGTs, while Chinese
companies received 135,000 CGTs, according to the researcher.
Market watchers said Chinese shipbuilders have gobbled up new orders at cheap
prices, while South Korean shipbuilders have continued to focus on high-priced
vessels and offshore facilities.
South Korea, home to seven of the world's top 10 shipyards, has clinched
record-high orders in the past few years on strong demand for crude carriers and
offshore exploration equipment amid lofty oil prices.
But orders for new vessels have sunk since the third quarter of last year, as the
credit crisis and the subsequent global recession have prodded companies to
postpone delivery dates or cancel orders.
South Korea has maintained its No. 1 ranking in the global shipbuilding industry
in terms of order backlogs, the researcher said, if only slightly.
South Korean shipbuilders' combined order backlogs totaled 55.5 million CGTs as
of the end of September, compared with Chinese rivals' 54.7 million CGTs,
Clarkson said.
sam@yna.co.kr