Recently, Jiangsu Xinhantong Shipbuilding Heavy Industry has secured orders for 16 VLCCs from two shipowners, bringing the total number of VLCC orders received this year to 26, ranking second globally, making it another rapidly emerging Chinese shipbuilder in the global VLCC newbuilding market this year.
Total of 12 vessels! Yangzijiang Maritime increases VLCC orders
Recently, the new listing platform controlled by “Chinese ship king” Ren Yuanlin—Yangzijiang Maritime Development Co., Ltd.—placed an additional order for four 319,000 dwt VLCCs at Jiangsu Xinhantong Shipbuilding Heavy Industry. Previously, the company had announced in April this year that it had ordered eight VLCCs of the same type from a domestic large shipyard, but the specific builder was not disclosed at that time. According to Clarksons data, including the latest four orders, all 12 VLCCs have been confirmed to be built by Xinhantong Shipbuilding Heavy Industry.
Shipbrokers estimate the unit price of these VLCCs to be approximately $125 million, with the total value of all 12 vessels around $1.5 billion (approximately RMB 10.216 billion), expected to be delivered between 2028 and 2030.
For reference, Clarksons data shows that the current newbuilding price for a 315,000-320,000 dwt conventional fuel VLCC is approximately $130.5 million (about RMB 889 million), the highest level since $132 million in March 2009.
The order at Xinhantong Shipbuilding Heavy Industry marks Yangzijiang Maritime’s first foray into the VLCC market, as its fleet structure was previously mainly focused on the medium-sized vessel segment.
Yangzijiang Maritime stated that these new vessels will be built according to the latest energy efficiency standards, featuring optimized hull lines, electronically controlled main engines, and multiple energy-saving devices, with the Energy Efficiency Design Index (EEDI) meeting or exceeding Phase 3 requirements. Additionally, each vessel will be equipped with a scrubber system, complying with the IMO global 0.5% sulfur cap while retaining the flexibility to use high-sulfur fuel oil, thereby optimizing fuel costs under different market conditions.
The market generally believes that Yangzijiang Maritime may continue its operational model seen in MR product tanker and handysize bulk carrier projects, realizing asset appreciation by reselling some of the newbuilding VLCCs. Sources said the company recently sold four 40,000 dwt bulk carriers built at Jiangsu Huatai Heavy Industry, with the specific buyer and price yet to be disclosed.
Furthermore, the company has also been rumored in the market to have resold MR tankers to Scorpio Tankers and TORM, with the unit price reportedly around $48 million per vessel, significantly higher than the less than $45 million per vessel price level when Yangzijiang Maritime placed the orders in early 2025.
It is understood that Yangzijiang Maritime was spun off from Yangzijiang Financial Holding, incorporated in Singapore, and is a comprehensive maritime financial platform covering maritime investment, cash management, and non-maritime investment. The company invests in shipping assets through joint ventures, finance leases, and other models, and provides services such as sale and leaseback, pre-delivery financing, and mortgage loans, while also extending to ship brokerage and agency businesses. On November 18 last year, Yangzijiang Maritime was officially listed on the Mainboard of the Singapore Exchange, becoming the third listed platform under the Yangzijiang Shipbuilding Group.
Relying on strategic cooperation with second and third-tier Chinese shipyards, Yangzijiang Maritime can secure newbuilding slots at a relative discount, and by combining equipment procurement synergies and internal technical supervision mechanisms, it can lower newbuilding costs by up to approximately 20% compared to first-tier market levels.
4 vessels! Yasa Shipping enters VLCC newbuilding market for the first time
Meanwhile, Turkish shipowner Yasa Shipping recently signed a construction contract with Xinhantong Shipbuilding Heavy Industry for four 319,000 dwt VLCCs, with the new vessels expected to be delivered in 2029. The unit price is also approximately $125 million, with the total value of the four vessels around $500 million (approximately RMB 3.395 billion).
This is Yasa Shipping’s first venture into the VLCC newbuilding market. Although the company entered the VLCC operation sector as early as 2021, its existing three VLCCs were all purchased through the second-hand market; this order is its first VLCC newbuilding project.
In addition to VLCCs, Yasa Shipping’s tanker division, Yasa Tanker, also operates a diversified fleet comprising 21 tankers, including three VLCCs, one Suezmax tanker, five LR2 product tankers, one Aframax crude oil tanker, and 11 MR product tankers.
In the newbuilding sector, Clarksons data shows that Yasa Shipping currently has four Suezmax tankers under construction at Guangzhou Shipyard International, and one MR tanker under construction at Yangzijiang Shipbuilding. Among these, two Suezmax tankers are scheduled for delivery in 2028, and the other two in 2029; the MR tanker is expected to be completed in September this year.
At the same time, Yasa Shipping also has strong capabilities in the dry bulk transportation market. Clarksons data shows that the company controls 40 bulk carriers, including four Capesize bulk carriers, nine Kamsarmax bulk carriers, ten Ultramax bulk carriers, six Supramax bulk carriers, and eleven Handysize open hatch bulk carriers. Additionally, the company has ordered two 63,600 dwt Ultramax bulk carriers at舟山中远海运重工 (COSCO Shipping Heavy Industry (Zhoushan)), expected to be delivered by the end of 2027.
Furthermore, Yasa Shipping has also begun to expand into the container ship market. In March this year, the company ordered two 3,100 TEU feeder container ships at Penglai Zhongbai Jinglu Shipyard, officially entering the container transportation field.
For Xinhantong Shipbuilding Heavy Industry, the latest orders further consolidate its position in the VLCC construction market. The shipyard first entered this high-end ship type construction field in February 2024 with an order for two 319,000 dwt VLCCs from commodity trading giant Trafigura. In just over two years, Xinhantong Shipbuilding Heavy Industry has rapidly grown into a significant player in the global VLCC market.
According to Clarksons data, global VLCC newbuilding orders so far this year total 143 vessels, a record high, of which Xinhantong Shipbuilding Heavy Industry has secured 26 orders, ranking second globally, only behind Hengli Heavy Industry’s 54 orders. Currently, Xinhantong Shipbuilding Heavy Industry’s VLCC orderbook totals 38 vessels, ranking fourth among individual shipyards globally, behind Hengli Heavy Industry (80 vessels), Dalian Shipbuilding (42 vessels), and South Korea’s Hanwha Ocean (40 vessels).
Industry insiders generally believe that Xinhantong Shipbuilding Heavy Industry’s ability to offer earlier delivery slots is an important reason for attracting orders.
Including the latest orders, according to Clarksons data, as of now, Xinhantong Shipbuilding Heavy Industry’s orderbook totals 89 vessels totaling 17.668 million dwt, including 39 bulk carriers, 46 tankers, and 4 container ships, with delivery schedules extending to 2030.
