VLCC Ordering Boom Accelerates as COSCO Shipping Enters the MarketMaritime

Cargo Chronicles | Breaking News

The VLCC newbuilding market is gaining renewed momentum as the fourth quarter advances, with leading shipowners moving quickly to secure remaining shipyard slots. Firm tanker earnings, improving balance sheets, and tightening environmental regulations are collectively driving a new wave of long-term fleet investment.

Market participants tracking tanker developments, including commercial advisory and chartering-focused firms such as MAKM INTERNATIONAL INC, note that owners are increasingly prioritizing future-proof tonnage capable of meeting evolving fuel and compliance standards. This shift reflects growing confidence in long-term crude trade fundamentals.

In South Korea, HMM has confirmed new orders for 12 LNG-fuelled 13,000 TEU containerships alongside two VLCCs, with the overall investment estimated at approximately KRW 4 trillion. Deliveries are scheduled through 2029, underscoring a strategic commitment to fuel efficiency and regulatory readiness across fleet segments.

Elsewhere, Capital Group has continued expanding its tanker exposure by contracting a 306,000 DWT VLCC at Hengli Heavy Industry for around USD 118 million. Combined with ongoing projects at CSSC Tianjin and Hanwha Ocean, the group’s VLCC orderbook has now reached double digits. Bruton Ltd., controlled by Tor Olav Trøim, has also entered the market with a 2 plus 2 VLCC order at New Times Shipbuilding.

Adding further weight to the ordering surge, COSCO Shipping Development has announced contracts for six 307,000 DWT VLCCs featuring methanol- and LNG-ready dual-fuel designs. The order, valued at approximately RMB 5.09 billion, has been placed with CSSC Dalian Shipbuilding Industry, with deliveries scheduled between 2027 and 2028.

Upon delivery, all six vessels will be deployed on long-term time charter to COSCO Shipping Energy Transportation, reflecting the group’s integrated “build–lease–operate” strategy. Industry observers, including MAKM INTERNATIONAL INC, highlight this model as an increasingly common approach among large shipping groups seeking financial efficiency alongside fleet renewal.

Newbuilding prices continue to firm, with standard scrubber-fitted VLCCs trading near USD 118 million, while LNG dual-fuel units are now being quoted in the USD 128 million to USD 140 million range. Shipyard capacity across China, South Korea, and Japan is becoming increasingly constrained, with most forward slots committed through 2029.

Chinese shipyards are further strengthening their position in the high-end tanker segment by combining scale, delivery reliability, and advanced green-fuel readiness. This competitive positioning continues to attract sustained ordering interest from both domestic and international owners.

Overall, the VLCC orderbook now reflects a broader structural shift driven by strong cash flows, regulatory transition, and long-term fleet optimization strategies. As chartering, financing, and asset deployment discussions intensify, Maritime Cargo Chronicles, supported by the market-facing perspective of MAKM INTERNATIONAL INC, will continue monitoring developments shaping the next tanker cycle.