Economic uncertainty slows barge industry construction plans
Towboat Industry Sees Surge in New Deliveries
The towboat and barge industry is experiencing a significant uptick in new vessel deliveries, with 64 boats either under contract, in construction, or recently delivered between October 2023 and September 2024. This surge comes as operators recognize the urgent need to modernize aging fleets, with many vessels over 45 years old. Industry experts emphasize the importance of smaller, more efficient towboats to meet current demands and replace outdated designs.
Towboats and Pushboats: Innovations and Deliveries
Among the notable additions to the inland waterway fleet is the Mariner, a 200’x50’x12’6″ line-haul towboat delivered to American Commercial Barge Line (ACBL) in December. This vessel, constructed by C&C Marine and Repair and designed by CT Marine, is the largest towboat built in the U.S. in the last 50 years. With an impressive 11,000 horsepower and advanced features like dual steering and flanking rudders, the Mariner is engineered to navigate shallow waters effectively. It boasts a unique ability to adjust its operating draft by up to 18 inches, making it adaptable to varying river conditions.
Another significant delivery is the Soaring Eagle, a 67’6″x28’x9’6″ push tug delivered by Eymard Marine Construction & Repair to Colonial Oil Industries. This tug, equipped with two Caterpillar C32 diesel engines, enhances Colonial’s marine fueling and towing capabilities. The Soaring Eagle operates primarily between Charleston, S.C., and Jacksonville, Fla., and is designed to carry a variety of fuels and cargoes, reflecting the company’s commitment to environmental sustainability.
Additionally, the Tennessee Department of Transportation introduced the Summitt, a new towboat paired with an existing deck barge, Volunteer. This ferry service, which transported approximately 14,500 vehicles in 2023, is expected to operate for the next 30 years, replacing a 67-year-old pushboat. The Summitt features modern propulsion systems and meets EPA Tier 3 emissions standards, showcasing advancements in eco-friendly marine technology.
Barge Deliveries on the Rise Amid Challenges
The barge sector also saw a notable increase, with 36 new inland tank barges delivered in 2024, marking a 38% rise from the previous year. The total capacity of these barges surged nearly 90%, reaching 922,000 barrels. Despite this growth, new tank barge construction remains at historic lows, as operators prioritize maintenance over new builds due to high costs associated with steel and tariffs.
Sandor Toth, publisher of River Transport News, highlighted the pent-up demand for replacement barges, noting that many companies are investing in maintaining their existing fleets. In 2024, the return of 30,000-barrel barges was significant, with operators taking delivery of 28 new units, compared to just eight in 2023. This shift indicates a growing preference for larger capacity vessels in the market.
On the dry cargo side, the construction of new hopper barges increased to 395 units in 2024, a 16% rise from the previous year. However, overall shipyard activity remains subdued compared to pre-2017 levels. High prices and rising interest rates have hindered the construction sector, although a slight moderation in steel prices may have contributed to the uptick in new deliveries.
As the industry looks ahead, the focus remains on modernizing fleets and addressing the challenges posed by aging vessels. With plans for electric and autonomous towboats on the horizon, the future of the towboat industry appears poised for innovation and growth.
