More orders for ultra-large containerships raise questions

German firm Peter Döhle has become the latest shipowner to order ultra-large containerships.The company signed a letter of intent for eight 10,000teu vessels from China’s Yangzijiang Shipbuilding.

The Singapore-listed shipbuilder has joined with Döhle in a three-way agreement with China Development Bank to provide $1 billion to finance the order.
Ren Yuanlin, CEO of Yangzijiang, said in a statement: “This co-operation agreement is not only important to Yangzijiang and our customer Peter Döhle, but also important for stronger bilateral economic ties between China and Germany.”
Döhle’s order comes only a few weeks after Seaspan signed a contract with the shipbuilder for seven 10,000teu vessels, valued at $700 million, with options for a further 18.
However, analyst Alphaliner recently warned that larger vessels with lower unit costs could distort the market.
“Pressure to match the unit slot costs of competing carriers which already operate larger ships could soon force the remaining carriers to upgrade their fleets, leading to further rate competition as they strive to fill these ultra-large containerships,” it said.