COSCO SHIPPING Development Signs Major Shipbuilding And Leasing Deal

COSCO SHIPPING Development Co., Ltd. announced the signing of significant shipbuilding and leasing agreements for ten 210,000 DWT Newcastlemax bulk carriers. These next-generation vessels, ready for methanol and ammonia fuel, represent a strategic investment in sustainable shipping.

The contracts, signed by its wholly owned subsidiary Hainan COSCO SHIPPING Development Co., Ltd., mark a major milestone in the company’s efforts to expand its green fleet and enhance long-term leasing operations.

Shipbuilding Contracts with Zhoushan Heavy Industry and CSSC Group

The contracts are split into two parts. Six ships will be built by Zhoushan Heavy Industry Co., Ltd. at a total cost of RMB 3.168 billion (USD 442 million), while the remaining four will be constructed by subsidiaries of the China State Shipbuilding Corporation (CSSC) Group for RMB 2.112 billion (USD 295 million). All vessels will be 210,000 DWT Newcastlemax bulk carriers, designed to be methanol- and ammonia-ready, aligning with the global push for cleaner marine fuels.

Each vessel is priced at approximately RMB 528 million (USD 73.7 million), with payments structured in five installments. At least 25% of the total cost will be financed through internal resources, with the rest covered via bank loans and external financing. Deliveries are scheduled between December 2027 and the end of 2028.

Long-Term Lease Agreement with COSCO Shipping Bulk

Alongside the shipbuilding agreements, Hainan COSCO SHIPPING Development signed a 20-year lease agreement with COSCO Shipping Bulk Co., Ltd. and its subsidiaries. Under this deal, the ten vessels will be leased for a term of 240 months ± 90 days, starting from each ship’s delivery date. The expected annual charter hire is RMB 63.8 million (USD 8.9 million) per vessel, resulting in an annual cap of RMB 638 million (USD 89 million) for the entire fleet.

This long-term leasing model provides COSCO Shipping Bulk with secure access to energy-efficient tonnage while generating steady leasing revenue for COSCO SHIPPING Development.

COSCO SHIPPING Development’s latest shipbuilding and leasing agreements reflect its dual commitment to green shipping and sustainable growth. By investing in methanol- and ammonia-ready bulk carriers and securing long-term leasing partnerships, the company strengthens its role in shaping the future of environmentally conscious maritime logistics. With deliveries planned from 2027 onward, this project is poised to have a lasting impact on the global dry bulk shipping landscape.