Alternative Propulsion Ships Poised to Claim Majority of TEU Capacity

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The global Container Ship fleet is on the verge of a symbolic and operational tipping point. Vessels powered by LNG, Methanol, or fitted with exhaust scrubbers are about to carry more cargo capacity than conventionally-fueled vessels, reports Alphaliner on LinkedIn.

Conventional propulsion still dominates by sheer numbers with 4,847 ships, or roughly 74% of the global fleet, run on traditional fuel oil.

LNG-powered ships make up just 3% of the fleet (195 vessels), Methanol-powered ships — barely 0.5% (32 vessels), and Scrubber-fitted vessels account for 22.5% (1,473 vessels).

The real shift, however, lies in the TEU capacity of the fleet. At the start of July, conventionally powered Container Ships accounted for 16.1 Mteu — exactly half of the world’s container capacity.

LNG-powered ships contributed 7.2% (2.3 Mteu), Methanol-powered ships held 1% (~0.3 Mteu), and Scrubber-fitted ships commanded the remaining 41.7% (13.4 Mteu).

The current orderbook breakdown reveals the real game-changer:

  • LNG: 347 ships on order, totaling 5.2 Mteu
  • Methanol: 194 ships on order, totaling 2.5 Mteu
  • Scrubber-fitted: 148 ships on order, adding Mteu

These newbuilds are also in many cases, ULCS Megamax-class vessels exceeding 18,000 TEU. As they hit the water, the low-emission and alternative-propulsion segment is set to overtake conventional tonnage in TEU share for the first time in history — a defining milestone in container shipping’s energy transition.

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Source: Alphaliner on LinkedIn