A liquefied natural gas carrier constructed by HD Hyundai Heavy Industries sails the seas in an undated photo. [HD KOREA SHIPBUILDING & OFFSHORE ENGINEERING]
Korea’s shipbuilders are off to a strong start this year as surging orders for energy carriers put them on track to meet annual targets earlier than expected.
This year’s ordering spree for energy carriers began much earlier than usual, with geopolitical instability stemming from the Iran war fueling demand for energy transport vessels, industry observers say. Last year, most orders were placed in the second half.
HD Korea Shipbuilding & Offshore Engineering and Samsung Heavy Industries both announced on Thursday that they had secured orders for two liquefied natural gas (LNG) carriers each.
HD Korea Shipbuilding & Offshore Engineering said it will deliver the two LNG carriers, built by HD Hyundai Heavy Industries, to an Oceania-based shipping company by March 2029. The deal is valued at 743.9 billion won ($496 million).
Samsung Heavy Industries said it had secured a 750.5 billion-won order for two LNG carriers scheduled for delivery by June 2029.
Earlier, on May 4, Hanwha Ocean announced a 507.4 billion won order to construct three very large ammonia carriers (VLACs).
This year’s combined orders won by Korea’s three major shipbuilders — HD Korea Shipbuilding & Offshore Engineering, Samsung Heavy Industries and Hanwha Ocean — have now surpassed $19.1 billion, or roughly 28 trillion won.
HD Korea Shipbuilding & Offshore Engineering has won orders for 98 vessels worth $11.82 billion so far this year, achieving 50.7 percent of its annual target of $23.31 billion before the first half is even over.
The company has already received orders for 16 LNG carriers this year, compared to just seven for all of last year. It has also secured orders for 26 container ships, 20 liquefied petroleum gas (LPG) and ammonia carriers, seven crude oil tankers, 26 petrochemical carriers, two car carriers and an icebreaking vessel.
Nighttime operations for shipbuilding are underway at Hanwha Ocean's shipyard in South Gyeongsang in December 2025. [YONHAP]
Hanwha Ocean, which has not disclosed an annual target, has secured orders worth $3.44 billion for 19 vessels this year, including five LNG carriers, 10 very large crude carriers (VLCCs), three VLACs and a wind turbine installation vessel.
Samsung Heavy Industries has also filled 28 percent of its annual target after securing orders worth $3.9 billion for 19 vessels, including nine LNG carriers and two ethane carriers. One of the nine LNG carriers will feature a floating storage and regasification plant unit.
The orders placed between January and April this year amounted to 44 percent of last year’s annual total and 67 percent of the 10-year average annual volume, according to an analysis by Samsung Securities, which used data from Britain-based maritime specialized research agency Clarksons.
“The order momentum at the beginning of the year has been exceptionally strong,” Samsung Securities noted. “Demand for energy carriers — which have drawn heightened market attention due to the Iran war — remains robust.”
Orders for oil tankers have already reached 94 percent of last year’s total volume, while orders for large LNG carriers stand at 97 percent of last year’s level.
“The sharp increase in orders from a year earlier reflects growing demand for environmentally friendly replacement vessels and a rise in LNG carrier contracts,” a shipbuilding industry official said.
“In particular, heightened uncertainties in global energy transportation due to the war boosted the LNG shipping volumes and demand for long-haul transport,” the official said.
This article was originally written in Korean and translated by a bilingual reporter with the help of generative AI tools. It was then edited by a native English-speaking editor. All AI-assisted translations are reviewed and refined by our newsroom.
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