CMA CGM, one of the largest shipping lines in the world, is likely planning to order 12 large 24,000 TEU oil tankers at the Yangzijiang shipyard in China. This project could be worth around $3 billion and is expected that these ships will be equipped with dual-fuel LNG technology and launched in 2029 and 2030.
Details of the New Order
Reports indicate that CMA CGM, led by Rodolphe Saadé, has signed an initial contract and is looking to expand its fleet with these large vessels. The estimated price for each ship is around $245 to $250 million, bringing the total program value to approximately $3 billion.
Read more: Explosion of the super tanker El Gaia in the south of the Strait of Hormuz due to a mine collision
History of Cooperation with Yangzijiang
This new order continues CMA CGM's previous relationship with Yangzijiang, where the company had also ordered 10 other 24,212 TEU ships in 2023. The first ship of this series, named CMA CGM Notre Dame, was delivered in May 2023, followed by the CMA CGM Pantheon added to the fleet in July. The remaining eight ships are expected to be launched by March 2028.
If this new order is confirmed, the total number of LNG dual-fuel large vessels in the company's fleet will reach 35, comprising three different series. The company's first 23,000 TEU ships were put into service in 2020 and 2021, and four larger ships are scheduled for delivery in 2025 and 2026.
Competition in the Shipping Market
This order could strengthen CMA CGM's position in the shipping line rankings. The company is rapidly approaching Maersk, the second-largest shipping line in the world. Estimates suggest that CMA CGM's fleet currently has a capacity of about 4.4 million TEU, while Maersk leads with 4.7 million TEU.
On the other hand, Yangzijiang is also returning to the 24,000 TEU market after a three-year hiatus. This private Chinese manufacturer had 256 ships worth $22.4 billion on its order list by the end of June, including 151 container ships. In the first half of 2023, Yangzijiang registered $1.75 billion in new orders and added another $200 million to its order list in July.
These developments in the shipping industry reflect ongoing efforts to increase capacity and improve environmentally friendly technologies. CMA CGM and other major shipping lines are currently planning new orders that include LNG dual-fuel ships.
Read more: Hamad Al-Naimi: The Hormuz Strait crisis will soon come to an end · Tanker El Gaia under fire control, being towed towards the port of Oman
