A significant order from a Chinese buyer for new crude-oil tankers has fuelled speculation that China is preparing a series of huge ship orders.
The orders would support employment in the country’s shipbuilding industry but flood struggling shipping markets with excess capacity.
China Rongsheng Heavy Industries (CRHI), China’s largest privately controlled shipbuilding group by order book size, announced yesterday that it had received an order for 10 Suezmax crude oil tankers, plus options for a further 10, for delivery in 2013 and 2014. Suezmax tankers, the second-largest commonly-used size, carry 1m barrels of oil.
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