News

Eco-Ship Ordering Craze

2013-04-25
2053

As ‘Eco-Ship’ building has become already a hot issue in global shipping and shipbuilding industries, the trend is prospected to spread to containership sector as well, following after bulker and tanker segments.  
Analyst Michael Webber at Wells Fargo Securities has said that slow steaming and fuel efficiency have been continued issues over the last few years, however eco-ship building tendency will grow, particularly for US-listed shipowners.
He said the actual benefit expected from charter rates of very large containership which is applied with fuel-saving design and technology is much bigger than the one from eco-friendly bulkers or tankers.
Eco-friendly building is an issue in PC sector among eco advocates, for instance, Teekay Corp. and Scorpio Tankers, however private equity companies like Carlyle and Oaktree Capital are said to be showing a high interest in eco-friendly boxships that Eco-Ship trend is seen to be spreading to other types of vessel.
Webber pointed out that New York-listed Costamare and Seaspan are likely to invest approximately $660m of cash in fuel-efficient newbuilding containerships within a few months.
Meanwhile, market players show a concern over a potential protracted recession in overall industry and freight market when new orders for Eco-Ship re-skyrocket.
Danish Ship Finance (DSF) also expressed a warning on containership market that imbalance of fleet supply and demand will get worse, driven by over-supply of tonnage, large newbuildings on order with slow economic recovery and etc.

Source:Asiasis