MSC continues ordering spree with up to 18 new LNG dual-fuel boxships

August 21, 2024, by Fatima Bahtić

Swiss shipping behemoth MSC Mediterranean Shipping Company is investing heavily in fleet renewal, with agreements signed for up to 18 new containerships, all to be powered by liquefied natural gas (LNG).

Illustration only; Archive; Courtesy of MSC

Data published by Intermodal Shipbrokers indicate that the Swiss major ordered six boxships at Chinese shipyard Shanghai Waigaoqiao Shipbuilding (SWS). The 19,000 TEU vessels, which have a price tag of $210 million each, will be dual fueled. They are slated for delivery between 2027 and 2028.

In addition to this order, the company decided to invest in up to twelve more ships at China’s Penglai Jinglu.

The contract includes eight firm vessels, with the option to order a further four ships. This time MSC opted for 11,500 TEU containerships, which are scheduled to be delivered to the shipowner between 2027 and 2028. They will also run on LNG dual-fuel engines. The value of the units is $140 million each.

The orders come on the back of the recent announcement of a 12-ship deal with Zhoushan Changhong International Shipbuilding. According to the shipyard, the new vessels will be the latest generation of ultra-large boxships developed and designed by CIMC’s subsidiary CIMC Ocean Engineering Design and Research Institute (CIMC ORIC).

In addition to LNG propulsion, the newbuilds will be ammonia and methanol-ready with various energy-saving optimization equipment

The latest update of the league table produced by Alphaliner, the Top 100, shows that MSC recently slipped past the six million TEU mark. The world’s largest container shipping company now controls a total of 849 ships, out of which it now owns 552 vessels.

The table shows further shows that MSC has 133 containerships on order, which represent 1.8 million TEU of capacity.

Last year, MSC emerged as the first ocean carrier to surpass a staggering 5 million TEUs in fleet capacity, growing its fleet from 4 million TEUs to 5 million TEUs in almost a year.

In alignment with its net-zero commitment by 2050, MSC has been a strong advocate of LNG as a marine fuel. Soren Toft, the firm’s CEO, said that MSC’s fleet renewal strategy includes 100 dual-fuel vessels. The shipowner also joined SEA LNG coalition, with the aim of collaborating with the organization on exploring the prospects of bio-LNG, particularly renewable synthetic LNG.