Japan Ship Orders Sink 89.8 Percent

Japanese export ship orders tumbled for the eighth consecutive month in May on a year-on-year basis, as a recovery in ship owners' flagging demand for new vessels is not yet on the horizon amid the global economic downturn.
Japan, one of the world's top shipbuilding nations along with South Korea and China, received orders for eight export ships totaling 141,880 gross tons in May, down a staggering 89.8 percent from the same month of last year, according to figures released by the Japan Ship Exporters' Association on Thursday.
Japanese export ship orders suddenly plunged 79.7 percent in October last year, when the global financial turmoil that had erupted the previous month began to take its toll on the general economy. By December, the drop was as steep as 91.1 percent, the worst so far.
In fiscal 2008, which ended March 31, Japanese export ship orders sank at their fastest pace in 16 years, plummeting 46.8 percent from fiscal 2007 to 14,561,230 gross tons. The fiscal 2008 gross tonnage was also the lowest in seven years.