Global Shipbuilding Market Dynamics The Race For Expansion

In line with President Trump’s vision to “Make America’s Shipbuilding Great Again,” the U.S. shipbuilding industry is poised for a potential resurgence. A drafted executive order outlines strategic measures to enhance the commercial and military shipbuilding sector, including:

• Maritime Security Trust Fund to boost investments.
• Trade restrictions on China to protect U.S. interests.
• Tax incentives and higher wages to attract skilled labor.
• Infrastructure development for modernized shipyard facilities.
• A six-month action plan to accelerate growth.

CMA CGM’s $20 Billion Investment in U.S. Shipping

The French shipping giant CMA CGM Group has pledged $20 billion to revamp U.S. maritime infrastructure, which includes:

• Modernization of ports on both coasts.
• New vessel orders at U.S. shipyards to expand the U.S.-flagged fleet.
• Investment in U.S. air cargo logistics, with a hub planned in Chicago.

Current Global Shipbuilding Landscape

The global ship orderbook stands at 5,735 vessels, totaling 281.18 million GT, reflecting a 22% year-on-year growth. Key trends include:

• Container ships: 24% of new orders.
• LNG carriers: 19% (with a high 48% orderbook-to-fleet ratio).
• Bulk carriers and tankers: 18% each.

Dominant Players

• China leads with 62% of global new orders.
• Japan and South Korea maintain their stronghold, with the three nations controlling over 90% of the global orderbook.
• Italy saw a 67% increase in 2025 orders, driven by Fincantieri’s cruise ship contracts.

Emerging Shipbuilding Markets

• Vietnam:

  • 40% output growth (2024 vs. 2023), 61% since 2022.
  • 29% orderbook increase (2025 vs. 2024), 148% since 2022.
  • Advantages: strategic location, cost-effective labor, government-backed policies.
  • Major shipbuilders like Hyundai HI and Damen Shipyards are expanding operations.

• India: Positioned as an emerging competitor, leveraging government support and a growing maritime industry.

• USA: Currently 52 ships (245,000 GT) on order, mostly tugboats and cruise vessels. However, with government backing, international partnerships, and advanced technology, the U.S. is gearing up for a revitalization of its shipbuilding sector.

The Future of Shipbuilding: Global Shifts Ahead

While China, South Korea, and Japan continue to dominate, Vietnam, India, and the U.S. are strengthening their market presence. With strategic investments and policy shifts, the coming years could witness a rebalancing of global shipbuilding dynamics.