May. 10, 2011 (China Knowledge) - Chinese shipbuilders completed 14.46 million dead weight tons of shipbuilding orders in the first quarter of this year, remaining almost unchanged to the same quarter of 2010, according to statistics released by China Association of National Shipbuilding Industry or CANSI.

Of the completed orders, 12.2 million DWT were for exports, accounting for 84.4% of the total.

As of Mar. 31, China saw total shipbuilding orders reach around 190.04 million DWT in hand, up 3.2% year on year. Of the orders, 165.14 million DWT were for exports, accounting for 86.9% of the total.

In the period from January to March, the country had 1,518 shipping companies above designated size, which saw the gross industrial output value increase 24.1% year on year to RMB 167.8 billion, including RMB 129.1 billion in shipbuilding, up 22.5% year on year.

China exports US$10.05 billion worth of ships, boats and floating structures in the first quarter of 2011, 5.21% more than in the same month of last year, according to General Administration of Customs. Of the total export value, US$5.74 billion or 57.11% were the export value of dry bulk carriers.

In the first quarter, the country saw its import value of ships, boats and floating structures increase 32.85% year on year to US$498 million.

Reportedly, China canceled 21 shipbuilding orders, most of which were orders for dry bulk carrier building, totaling 1.08 million DWT in the first quarter of this year, dragged down by the sluggish shipping market and the shipping overcapacity of dry bulk carriers.  

Most of the shipbuilders also suffer cash shortage problems due to lower down payment for shipbuilding orders, said a person familiar with the matter as saying.

However, the Chinese shipbuilders has focused on the research and development, and manufacturing of LNG carriers, which are tank ships designed for transporting liquefied natural gas.

The country's biggest shipbuilder China State Shipbuilding Corp or CSSC, the parent company of China State Shipbuilding Co Ltd<600150>, has started R&D on LNG carriers with maximum loading capacities up to 220,000 cubic meters.

China Rongsheng Heavy Industries Group Co Ltd<1101>, China's largest private-owned maritime equipment manufacturer, is also said to develop drilling ships and LNG carriers.