Deteriorating cargo flows and excess vessel capacity in the bulk and container markets
First written in FY2017-Q3. 8 of 28 entries say "Restated". Latest entry: FY2026-H1.
The whole theme swung hardest in 2023: 3 of 10 companies on the "Worse" side.
3 other companies' latest entry also says "Other".
- FY2026-H1Longer time required to finalize ordersAnnual report
「In the ocean shipping industry, orders are secured through 3 or 4 years ahead even at shipyards building coastal vessels as well as large vessels, and new negotiations are for berths in 2029–2030.」
Orders are secured through 3 or 4 years ahead at shipyards building coastal vessels as well as large vessels, and new negotiations concern berths in 2029–2030. The timing of negotiations has shifted to berths further out than the period for which orders were traditionally secured. - FY2025Order coverage at shipyards alongside weakness in the coastal freighter marketAnnual report
「In the large-vessel market, concerns over a shortage of dock capacity have increased because major Chinese shipyards have already sold out their 2028 dock capacity. In response, shipowners in Japan and overseas moved to arrange newbuildings, with domestic shipyards also nearly selling out their 2028 dock capacity; new business discussions now concern 2029 dock capacity. Shipyards building vessels for coastal shipping, which are covered by the Company's 2-cycle engines, also have only limited 2028 dock capacity remaining. However, no positive movement toward newbuilding construction has emerged for freighters because freight rates do not justify current vessel prices.」
It states that, in the large-vessel market, shipyards in China and Japan have berth capacity booked through 2028, while new domestic negotiations are for berths in 2029, whereas no positive movement toward newbuilding is visible for coastal cargo vessels because of the imbalance between freight rates and vessel prices. - FY2025-H1Limited dock capacity in the large-vessel market and progress in securing ordersAnnual report
「In the large-vessel market, concerns over a shortage of dock capacity are increasing because major Chinese shipyards have already sold out their dock capacity for 2028. Against this backdrop, shipowners in Japan and overseas have begun arranging newbuildings, and several domestic shipyards have also secured dock capacity for 2028.」
Major Chinese shipyards have sold out their 2028 dock capacity, raising concerns over a shortage, while shipowners in Japan and overseas are arranging newbuildings and domestic shipyards are making progress in securing 2028 dock capacity. - FY2024Order coverage at large-vessel shipyards and a wait-and-see approach to forward ordersAnnual report
「In the ocean shipping industry, shipyards building large vessels have already secured orders extending more than 3.5 years into the future. However, uncertainty over future construction costs has led to a wait-and-see stance toward forward orders beyond that period.」
While the order coverage period at shipyards building large vessels has extended beyond 3.5 years, forward orders beyond that period are being monitored from the sidelines due to uncertainty over construction costs. - FY2024-Q3Addition of vessel sales activity due to uncertainty over the foreign-exchange outlookAnnual report
「Bulk carrier construction is continuing in the ocean shipping industry, and shipyards building large vessels have secured more than 3 years of orders. At the same time, signs of vessel sales activity have begun to emerge due to uncertainty over the foreign-exchange outlook.」
The Company reconfirmed the continuation of bulk carrier construction and the securing of more than 3 years of orders at shipyards building large vessels, while stating that vessel sales activity had begun to emerge against a backdrop of uncertainty over the foreign-exchange outlook. - FY2024-Q2Clear indication of an upward trend in bulk carrier constructionAnnual report
「The extremely buoyant container shipping market has softened significantly, while bulk carrier construction is trending upward. Shipyards building large vessels have secured more than 3 years of orders.」
While the container shipping market continues to soften, the description has become more specific, changing from the previous statement that bulk carrier construction was emerging to one that bulk carrier construction is trending upward. The situation in which shipyards building large vessels have secured more than 3 years of orders also continues. - FY2024-Q1Container shipping market weakness alongside bulk construction and order coverage at shipyardsAnnual report
「The extremely buoyant container shipping market has softened significantly. At the same time, bulk carrier construction projects are emerging, and shipyards building large vessels have secured more than 3 years of orders.」
The Company described a significant softening in the container shipping market, while stating that bulk carrier construction projects are emerging and shipyards building large vessels have secured more than 3 years of orders. - FY2023-Q3WorsenedAnnual report
「The ocean shipping industry expects further market deceleration because the container shipping market, which had been extremely buoyant following the COVID-19 pandemic, has recently begun to soften and many newbuildings are expected to be completed in the future. This is expected to affect new orders for newbuildings going forward.」
The Company expects further market deceleration and an impact on newbuilding orders as the container shipping market begins to soften and more newbuildings are completed. - FY2023-Q2RestatedAnnual report
「The ocean shipping industry remains buoyant, particularly among container shipping companies. Although development and orders for vessels using new fuels that take environmental regulations into account are progressing, the sharp rise in steel prices and uncertainty over the market outlook have not led to a wave of large-scale orders.」
The Company reconfirmed that, while ocean shipping remains buoyant and development and orders for new-fuel vessels continue, large-scale orders have not materialized due to high steel prices and uncertainty over the market outlook. - FY2023-Q1RestatedAnnual report
「The ocean shipping industry is extremely buoyant, with many companies, particularly container shipping companies, achieving record-high results. Although development and orders for vessels using new fuels that take environmental regulations into account are progressing, the sharp rise in steel prices and uncertainty over the market outlook have not led to a wave of large-scale orders.」
The Company reconfirmed that ocean shipping is buoyant and that development and orders for new-fuel vessels are progressing, while the sharp rise in steel prices and uncertainty over the market outlook have prevented large-scale orders. - FY2022Strong shipping markets alongside restrained newbuilding ordersAnnual report
「The ocean shipping industry is extremely buoyant, with many companies, particularly container shipping companies, achieving record-high results. Although development and orders for vessels using new fuels that take environmental regulations into account are progressing, the sharp rise in steel prices and uncertainty over the market outlook have not led to a wave of large-scale orders.」
Ocean shipping is buoyant, and development and orders for new-fuel vessels are progressing, but the sharp rise in steel prices and uncertainty over the market outlook have prevented large-scale orders. - FY2022-Q3Strong shipping markets alongside restrained newbuilding ordersAnnual report
「The ocean shipping industry is extremely buoyant, with many companies, particularly container shipping companies, achieving record-high results. Although development and orders for vessels using new fuels that take environmental regulations into account are progressing, the sharp rise in steel prices and uncertainty over the market outlook have not led to a wave of large-scale orders.」
Ocean shipping is described as buoyant, particularly among container shipping companies, and development and orders for new-fuel vessels are progressing. However, surging steel prices and uncertainty over the market outlook have prevented large-scale orders. - FY2022-Q2Shipping market recovery alongside stagnation in newbuilding discussions due to steel pricesAnnual report
「In the ocean shipping industry, cargo flows plunged in the first half of the previous fiscal year due to COVID-19, and new vessel construction also declined sharply. In the current fiscal year, cargo flows became active, and shipping markets, particularly for dry bulk carriers, showed strong conditions from July onward. Expectations for newbuilding increased, and this was expected to benefit mid-sized domestic shipyards. However, as raw material prices for steel rose sharply with the economic recovery, shipyards were unable to forecast vessel prices and shipbuilding steel prices several years ahead, making it difficult for discussions on new inquiries to progress.」
Cargo flows in ocean shipping, which had plunged during COVID-19, recovered, creating strong market conditions and expectations for newbuildings, particularly dry bulk carriers. However, discussions on new inquiries have been difficult to advance due to surging raw material prices for steel and uncertainty over vessel prices and steel prices. - FY2022-Q1MitigatedAnnual report
「Cargo flows in the ocean shipping industry plunged due to COVID-19, and new vessel construction also declined sharply. However, cargo flows of iron ore, coal and other commodities recovered in the second half of the previous fiscal year as China led an increase in steel production as a national policy. Cargo flows became even more active in the current fiscal year, and as global shipping markets moved toward recovery, positive effects also began to emerge at mid-sized domestic shipyards.」
The Company stated that cargo flows and new vessel construction in ocean shipping, which had plunged during COVID-19, were recovering, with recovery effects beginning to emerge in global shipping markets and at mid-sized domestic shipyards as cargo flows of iron ore, coal and other commodities improved. - FY2021MitigatedAnnual report
「There were early signs of improvement in the dry bulk carrier charter-rate market from around June 2020, triggered by improving steel production in China and increased iron ore trading as the COVID-19 situation there moved toward containment. The market has been on a recovery trend, albeit an unstable one.」
The Company stated that, despite the deterioration in shipping markets caused by the infectious disease, the dry bulk carrier charter-rate market was showing signs of an unstable recovery. - FY2020WorsenedAnnual report
「In the ocean shipping and shipbuilding industries, the rise in charter rates for dry bulk carriers, mainly for iron ore, which had been rising sharply from spring through summer last year, stopped and began trending downward from autumn onward. The shipping industry had expected the market to recover after the Chinese New Year, but the spread of COVID-19 caused cargo flows to China to plunge, significantly affecting global shipping markets.」
The situation deteriorated from a gradual recovery in shipping markets to declining charter rates for dry bulk carriers and a sharp drop in cargo flows to China due to COVID-19. - FY2020-Q3WorsenedAnnual report
「In the ocean shipping and shipbuilding industries, the rise in charter rates for dry bulk carriers, mainly for iron ore, which had been rising sharply from spring through summer last year, stopped, and rates began trending downward from autumn onward.」
In contrast to the previous gradual recovery in the ocean shipping and shipbuilding industries, the Company stated that charter rates for dry bulk carriers stopped rising and began trending downward from autumn onward. - FY2020-Q2RestatedAnnual report
「The ocean shipping and shipbuilding industries have generally maintained a gradual recovery trend.」
The Company reconfirmed its view that the ocean shipping and shipbuilding industries have generally maintained a gradual recovery trend. - FY2020-Q1RestatedAnnual report
「The ocean shipping and shipbuilding industries have continued to maintain a generally gradual recovery trend.」
The Company reconfirmed its view that the ocean shipping and shipbuilding industries have generally maintained a gradual recovery trend. - FY2019RestatedAnnual report
「The ocean shipping and shipbuilding industries have generally maintained a gradual recovery trend.」
The Company stated that the shipping and shipbuilding industries have generally maintained a gradual recovery trend. - FY2019-Q3RestatedAnnual report
「After the chemical and dry bulk markets emerged from a previous trough, overall shipping markets have maintained a gradual recovery trend.」
The Company reconfirmed that chemical and dry bulk markets had emerged from a previous trough and that overall shipping markets continued to recover gradually. - FY2019-Q1MitigatedAnnual report
「The shipping and shipbuilding industries in which the Company operates have emerged from a previous trough in chemical and dry bulk markets and are generally on a recovery trend.」
In contrast to the previously described weakness in the bulk and container markets, the Company stated that chemical and dry bulk markets had emerged from a previous trough and had generally entered a recovery trend. - FY2018MitigatedAnnual report
「The shipping and shipbuilding industries in which the Company operates have emerged from a previous trough in chemical and dry bulk markets and are showing signs of recovery.」
In contrast to the previous weakness in the bulk, container and coastal shipping markets, the Company stated that chemical and dry bulk markets had emerged from their previous trough and were showing signs of recovery. quantified:false, materialized:true. - FY2018-Q3RestatedAnnual report
「The dry bulk market has emerged from its previous trough and is showing signs of recovery, while the coastal shipping market remains sluggish.」
The dry bulk market is described as showing signs of recovery, while the coastal shipping market remains sluggish. - FY2018-Q2Dry bulk market recovery alongside weakness in the coastal shipping marketAnnual report
「The dry bulk market has emerged from its previous trough and is showing signs of recovery, while the coastal shipping market remains sluggish.」
The dry bulk market is described as having emerged from its previous trough and showing signs of recovery, while the coastal shipping market remains sluggish. - FY2018-Q1RestatedAnnual report
「In the shipping and shipbuilding industries in which we operate, there was rush demand ahead of amendments to international rules, including the NOx Tier 3 regulations and ballast water treatment system regulations, but the bulk and container markets remain depressed due to deteriorating cargo movements and excess vessel capacity.」
While there was rush demand ahead of revisions to international rules, the bulk and container markets continued to languish due to deteriorating cargo flows and excess vessel capacity. - FY2017WorsenedAnnual report
「Cargo flows deteriorated, and the bulk and container markets remained sluggish due to excess vessel capacity. Newbuilding discussions at large and medium-sized shipyards cooled, making it difficult to secure orders, and securing sufficient work for fiscal 2019 became a major issue.」
In addition to sluggish bulk and container markets, the Company explicitly described the cooling of new business discussions at large and medium-sized shipyards, difficulties securing orders, and the need to secure sufficient work for fiscal 2019, providing a more detailed description of market risks. - FY2017-Q3First statedAnnual report
「The bulk and container markets remained sluggish due to deteriorating cargo flows and excess vessel capacity.」
The Company newly described the market conditions, stating that the bulk and container markets remained sluggish due to deteriorating cargo flows and excess vessel capacity.