CMA CGM Orders 20 More Vessels for $3.5 Billion, Set to Become World’s Second Largest Liner Company
According to the latest data from Alphaliner, the global container fleet has reached a milestone of 30 million TEUs (twenty-foot equivalent units) for the first time. This achievement is attributed to the significant delivery of new ships from Asian shipyards, setting a new record. This growth reflects the rapid development of the shipping industry and its significant impact on global trade, logistics, and the environment.
Braemar Shipbrokers highlighted in their latest container market summary that ongoing negotiations for a significant number of new shipbuilding contracts reflect strong demand and promising future growth prospects. Reports indicate that delivery contracts for container ships from major Chinese shipyards extend into 2029.
According to BIMCO’s data, it is projected that 478 container ships with a total capacity of 3.1 million TEUs will be delivered this year, marking a 41% increase from the 2023 record. Container fleet capacity is expected to grow by 10% in 2024, further solidifying industry expansion.
It’s worth noting that CMA CGM plans to invest $3.5 billion in ordering 20 container ships from South Korea’s Hyundai Heavy Industries (HD Hyundai). This order will further expand CMA CGM’s extensive fleet.
Industry insiders revealed that the ships CMA CGM plans to order include 12 vessels of 16,000 TEU capacity and 8 vessels of 8,000 TEU capacity, all equipped with LNG dual-fuel engines. The estimated cost per vessel is around $200 million for the 16,000 TEU ships and approximately $140 million for the 8,000 TEU ships. This new order will add a total capacity of 256,000 TEU to their fleet!
It is expected that these ships will be delivered between 2027 and 2028. With the transportation capacity of this order, CMA CGM Group’s total controlled transportation capacity + holding order capacity will surpass Maersk Group and become the world’s second largest liner company (5034564TEU).
