China has firmly positioned itself as the global leader in containership building, boasting unmatched capacity and a commanding share of the global order book. With competitive pricing, vast shipyard infrastructure, and strategic partnerships, Chinese shipyards are reshaping the global shipping industry.

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Key Insights into China’s Containership Industry

1. Market Leadership
   China currently holds a staggering 68.5% share of global containership orders, measured in terms of TEU (twenty-foot equivalent unit) capacity. This solidifies its position as the premier hub for box ship construction.
2. Competitor Landscape
   South Korea, the second-largest player in the industry, lags far behind with a 23.3% share of the global order book, underscoring China’s dominance.
3. Rapid Order Growth
   The past few years have seen exponential growth in Chinese shipyards’ order volumes:
   • 2020: Orders for 630,000 TEU, compared to South Korea’s 380,000 TEU.
   • 2024: Orders surged to 3.61 million TEU for China, while South Korea secured just 660,000 TEU.
4. Competitive Edge
   Analysts attribute China’s dominance to:
   • Competitive pricing: Significantly undercutting rivals, especially South Korea.
   • Larger shipyard capacities: Enabling the fulfillment of bulk orders.
5. Future Projections
   • The current order book stretches until 2030, indicating long-term commitments.
   • Chinese shipyards are actively expanding their facilities, ensuring capacity to handle increasing demand, with new building slots available from 2027 onwards.
6. Preferred Sourcing
   Global shipping giants like Hapag-Lloyd, Cosco, Maersk, and MSC consistently choose Chinese shipyards for new vessel orders. While carriers like South Korea’s HMM support domestic shipyards, the trend favors China for its efficiency and pricing.
7. Strategic Collaborations
   • MSC has partnered with Hengli Group to revive operations at the former STX Dalian shipyard in China. This collaboration focuses on producing large vessels, showcasing China’s ability to attract and execute high-profile projects.

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Key Numbers at a Glance

Category	China	South Korea
Global Market Share (TEU)	68.5%	23.3%
2020 Orders (TEU)	630,000	380,000
2024 Orders (TEU)	3.61 million	660,000
Order Book Timeline	Extends to 2030	Limited future slots

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Implications for the Industry

China’s dominance in the containership sector has far-reaching implications:

• Pressure on Competitors: South Korean shipyards are struggling to match China’s pricing and capacity, and their market share is expected to decline further.
• Global Supply Chain Influence: With a significant share of the world’s containership building, China wields considerable influence over global shipping operations.
• Strategic Importance: The country’s ability to secure orders from top carriers solidifies its strategic role in the maritime economy.

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Conclusion

China’s commanding presence in the containership building industry showcases its ability to adapt, innovate, and lead on a global scale. As the order book extends well into 2030, Chinese shipyards are positioned not just as market leaders, but as indispensable players in shaping the future of global trade logistics.