Alternative-Fueled Shipping Surges Amid Market Challenges
Investment in alternative-fueled shipping is on the rise, with the global dual-fuel fleet expanding significantly. As of December 2025, the fleet has reached 400 container ships and vehicle carriers, marking an impressive 83% increase from the previous year. Despite a slowdown in overall ship orders, the commitment to next-generation vessels remains strong, with over $150 billion invested in dual-fuel technology.
Container Shipping Leads the Charge
The World Shipping Council’s latest Dual-Fuel Fleet Dashboard reveals that the dual-fuel fleet has grown to 400 vessels, a substantial increase from 218 in 2024. This growth is complemented by an additional 726 dual-fuel ships currently on order, bringing the total to 1,126 vessels. This surge highlights the ongoing investment in alternative fuels, even as total newbuild orders across all shipping segments plummeted from 4,405 in 2024 to just 2,403 in 2025, according to DNV’s Alternative Fuels Insight platform.
Container shipping has emerged as a standout sector, with orders rising from 447 vessels in 2024 to 547 in 2025. This trend underscores the industry’s pivotal role in maritime decarbonization. Jason Stefanatos, DNV’s Global Decarbonization Director, attributes this resilience to cargo owners who are committed to reducing emissions despite market uncertainties. They are focusing on investments where fuel infrastructure and regulatory clarity align, particularly in container shipping, where liquefied natural gas (LNG) and methanol are gaining traction due to established supply chains.
In the container orderbook, LNG-fueled vessels dominate, comprising 58% of gross tonnage. Conventional-fuel ships account for 36%, while methanol-fueled vessels represent a smaller 6%. Notably, container ships make up 49% of the total gross tonnage on order and 68% of all alternative-fuel newbuilds placed in 2025. The momentum has continued into 2026, with 20 new alternative-fuel vessel orders recorded in January, including 16 LNG-fueled container ships.
Challenges for Other Shipping Segments
While container shipping thrives, other sectors face significant challenges. Orders for LPG and ethane carriers plummeted by 73% in 2025, and car carrier contracting dropped by a staggering 90%. Bulk carriers, crude tankers, and oil and chemical tankers also experienced sharp declines as owners prioritized cost control over fleet renewal. Methanol-fueled newbuilds saw a drastic reduction, falling from 149 orders in 2024 to just 61 in 2025.
DNV Maritime CEO Knut Ørbeck-Nilssen described 2025 as a challenging year for long-term investment decisions, attributing the slowdown to a turbulent market environment and a natural cooling after several years of heightened ordering activity. He emphasized that future progress will hinge on global regulations that incentivize alternative fuels and foster fair competition.
World’s First Methanol-Fuelled Engine Ordered for VLCC Segment
Currently, 74% of vessels on order in the container ship and vehicle carrier segments are dual-fuel capable. These vessels are designed to adapt to renewable and near-zero fuels as they become commercially viable, positioning operators to meet tightening regulations and rising expectations from cargo owners. The data illustrates an industry grappling with competing pressures, where regulatory uncertainty and market volatility hinder investment in some areas, while firm commitments from cargo owners and established fuel infrastructure continue to drive momentum in others. For now, container shipping remains the leading force in the maritime energy transition, with LNG-fueled vessels at the forefront.
