Marinakis readies $1.6bn boxship series in South Korea

Evangelos Marinakis, the Greek shipping magnate, is embarking on a significant expansion in the maritime sector with plans for new containerships valued at nearly $1.6 billion. His company, Capital Maritime, has secured shipbuilding slots at renowned South Korean yards, aiming for a diverse fleet that includes both scrubber-fitted vessels and LNG dual-fuel ships. This strategic move not only underscores Marinakis’ commitment to modern shipping solutions but also reflects the shifting dynamics in global shipbuilding.

Major Orders and Ship Specifications

Capital Maritime has finalized agreements for 14 new ships at HD Hyundai Mipo and an additional six at HD Hyundai Samho. At the Mipo dockyard, the company will oversee the construction of six scrubber-fitted vessels, each with a capacity of 1,800 twenty-foot equivalent units (teu), priced at $45 million apiece. Furthermore, eight larger vessels with a capacity of 2,800 teu are set to be built, with an estimated cost of $55 million each. The delivery for these ships is anticipated in 2027.

Meanwhile, the Samho shipyard will construct six 8,400 teu LNG dual-fuel newbuilds, each valued at $140 million, with expected deliveries commencing in 2028. Marinakis’ latest ventures follow a previous order of ten 8,400 teu LNG dual-fuel vessels from China’s New Times Shipbuilding, reflecting a strategic pivot in light of increasing pressure on Chinese shipbuilding practices. During a recent address at the Capital Link Forum in New York, Marinakis expressed apprehensions about the future viability of vessels built in China due to mounting scrutiny from the U.S. government.

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Industry Implications and Future Outlook

Marinakis highlighted a growing trend among charterers to steer clear of ships built in China for their U.S. operations. He cautioned that if this trend persists, the shipping industry might face a two-tier market, ultimately placing a financial burden on consumers. Earlier this year, the shipping mogul also opted for South Korean shipyards for his latest Very Large Crude Carrier (VLCC) project. He ordered two 320,000 deadweight tonnage vessels from Hanwha Ocean, each costing around $130 million and scheduled for delivery in 2027.

This series of investments not only reinforces Marinakis’ robust order book across multiple shipbuilding sectors but also signals a broader shift in the maritime industry as it adapts to geopolitical changes and market demands. With significant orders placed in both South Korea and China, Marinakis is positioning his fleet for future success amidst evolving industry challenges.