On August 3rd, Guangzhou Shipyard announced that it has secured contracts worth nearly 100 billion yuan. The strong momentum for Chinese shipyards, which began in the first half of 2026, continues. Chinese shipyards began the second half of 2026 with an order book for the construction of ships with a deadweight tonnage exceeding 363 million tons. Over 80% of the contracts are orders from shipowners for new tankers, bulk carriers, and container ships.

This represents an increase in contracts of almost 55% year-on-year. As a result, the Chinese shipbuilding industry has secured over 80% of the contracts and holds over 70% of the global order book, according to data released on July 23rd by the Chinese Ministry of Industry and Information Technology.

Guangzhou Shipyard International Co., Ltd. (Guangzhou Shipyard), a subsidiary of China State Shipbuilding Corporation (CSSC) in Guangdong Province, southern China, has contracts worth nearly 100 billion yuan ($14 billion), said Zhou Xuhui, the company’s general manager, as quoted by People’s Daily Online on August 3rd.

Over 95% of orders have been signed by foreign shipowners. The order book secures work for shipyards and subcontractors until 2030. Guangzhou Shipyard has docks and production facilities in the Pearl River Delta, one of the three main shipbuilding centers in China. Longxue Island, in Guangzhou’s Nansha District, is home to two major shipyards operating under the CSSC holding company.

The docks of Chinese shipyards, like CSSC, will be full for several years, as contracts for commercial vessels with a total deadweight tonnage of 121.06 million were signed in the first half of 2026. Chinese shipbuilding corporations achieved an incredible 173.1% year-on-year increase in orders over the first six months of this year. The Chinese shipbuilding industry captured 82.3% of the global dwt tonnage.

In 2026, the Chinese shipbuilding industry surpassed China’s previous record for new orders in a single year. Over 80% of the contracts were awarded to three main market segments: tankers, bulk carriers, and container ships. However, other types of ships, such as ro-ro ships and the multi-purpose project cargo vessels ordered by Chipolbrok, are equally popular.

Ships from China Dominate

Ships from China dominate the map of liner shipping, bulk cargo, and liquid cargo transport. As a result, ships built in Chinese docks have become a permanent fixture in the global maritime trade landscape, note analysts from Global Maritime Hub. Chinese ships can now be found in most ports around the world. They are present in virtually all leading international shipping routes. Without them, global logistics chains would be virtually inoperable.

Record orders in 2026 are accompanied by intense activity in production halls and docks. According to the Chinese Ministry of Industry and Information Technology, from January to June of this year, Chinese shipbuilders produced ships with a total deadweight tonnage of 36.5 million. This intensity of work resulted in a 51.2% year-on-year increase in sales. 62.2% of global shipbuilding deliveries entered the maritime transport market from Chinese shipyards.

By securing over four-fifths of all new ship orders from shipowners, the Chinese shipbuilding industry has strengthened its leading position in the global market, a position it has held for almost a decade. Furthermore, the vast majority of steel and ship equipment production is manufactured by Chinese suppliers. Therefore, the Chinese shipbuilding industry controls all production logistics.

China has dominated the shipbuilding market for several years. Source: voronoi

According to data from the Ministry of Industry and Information Technology, by the end of June, China’s order book reached 363.25 million dwt. 71.2% of the world’s merchant fleet will be built in Chinese docks. Importantly, a significant portion of steel, pipes, cables, and ship equipment production is produced in plants collaborating with shipyards.

For those who don’t remember, in Poland, shipbuilding production was once coordinated by the Shipbuilding Industry Association. There are over 20 such associations in China. Shipbuilding in China is a prime example of ensuring local content and managing the logistics of shipbuilding.

Chinese local content and ecology

Chinese shipbuilders dominate the market for building ships with engines and eco-friendly systems and propulsion systems. They maintained a global market share of over 68% in the first half of 2026. This is despite three consecutive years of shipowners moving away from expensive ship propulsion solutions and a decline in global orders for ships with eco-friendly power systems.

Shipyards operating under the China State Shipbuilding Corporation can now install marine engines powered by LNG, LPG, ethane, methanol, and ammonia, according to the organization’s management. Most shipyards in China offer ships with Chinese-made systems enabling the introduction of alternative fuels in various configurations.

Orders for low- and zero-emission engines have increased significantly following the expansion of dual-fuel engine production in China. The order book for these engines increased by almost 8% year-on-year in the first half of 2026.

Global CGT market share of leading shipyards. Source: Clarksons Research, Graphics: Global Times, Valiani Panda

The CPGC-8ML320DM dual-fuel methanol engine was recently developed by CSSC Power (Group) Corporation Ltd. (CPGC), a subsidiary of China State Shipbuilding Corporation (CSSC). The marine engine successfully completed tests and was delivered to the customer. This represents a breakthrough for the Chinese shipbuilding industry, which has mastered the production of medium-speed, large-bore marine engines, emphasizes CPGC management.

Hengli Group announced that the first domestically produced dual-fuel 8G95 LNG-powered engine was successfully delivered on April 21st. The engine received a main engine class certification from Det Norske Veritas (DNV). The 8G95ME-C10.5-GI-EcoEGR model stands 16 meters tall, weighs over 1,600 tons, and generates a maximum power of 74,725 horsepower. It is currently the most powerful dual-fuel gas engine currently available in China, the manufacturer emphasizes.

The engine features an exhaust gas recirculation (EcoEGR) system and meets the stringent International Maritime Organization (IMO) Tier III emission standards without the need for external emission control devices. The first batch of 8G95 dual-fuel engines will be installed on ultra-large container ships with a capacity of 24,000 TEU and 21,000 TEU. The ships are being built by Hengli Heavy Industries for MSC.

China State Shipbuilding Co., Ltd. (SS: 600150) Stock Quote. Source: Yahoo Finance

Since propulsion equipment accounts for the majority of a ship’s energy consumption and carbon dioxide emissions, the ability to mass-produce alternative fuel engines is becoming an increasingly important element of the competitiveness of the Chinese shipbuilding industry. The combination of shipyard production capacity and key ship components translates into economic benefits. A striking example is China State Shipbuilding Co., Ltd. (SS: 600150). On July 14, the group published its preliminary profit forecast for the first half of 2026, according to the Chinese social media platform “Beyond Shipping.”

CSSC Tops the Board

China State Shipbuilding Co., Ltd.’s earnings report contradicts reports of subsidies for shipbuilding in China. CSSC controls virtually all production logistics, where automation and process optimization are implemented on an ongoing basis. After analyzing the economic results and contracts concluded in the first half of this year,

CSSC expects net profit through June of this year to range from RMB 9.2 billion to RMB 11 billion. Revenue and profit figures for the same period last year have been adjusted to reflect the merger with China Shipbuilding & Offshore International Co., Ltd. (China Shipbuilding Industry Co., Ltd.).

CSSC achieved a year-over-year sales increase of 191.21%. Net profit attributable to shareholders after profits and losses is expected to range from RMB 9 billion to RMB 10.8 billion (approximately USD 1.28 billion to USD 1.53 billion), representing a year-over-year increase of 211.34% to 273.61%. The company’s operating results improved significantly in the first half of the year, emphasizes CSSC management.