Chinese LNG tankers said to chart new course for the shipbuilding industry

IHS Maritime senior research analyst Gary Li has commented on recent Chinese government reforms that have enabled a surge in LNG tanker construction in the country.

Li said that in five years China has gone from lacking the technology to construct LNG tankers in the country to securing 23% of global orders in 2013.

The primary drivers include the reform of shipbuilding sectors announced in August 2013, as well as the country’s energy security, and environmental concerns.

The Chinese Government is seeking cleaner energy sources and to reduce its dependence on crude imports and forecasts, relying nistead on natural gas.

The country imported around 16 million tonnes (mmt) of LNG In 2012, which is set to rise to around 77 mmt by 2030.

China receives most of its LNG from Qatar at present, but as new markets open up or grow in places such as Australia, Canada and East Africa, Beijing wants its energy state owned enterprises (SOE) to possess their own LNG tanker fleets.

The market is still dominated by South Korea, with the likes of Daewoo and Samsung Heavy Industries securing 68% of LNG tanker orders in 2013.