Taiwan’s Yang Ming Marine Transport is doubling down on its fleet optimization strategy with a $1.4 billion order for seven massive LNG-powered containerships, each boasting a capacity of 15,880 TEU. These vessels, set for delivery by mid-2029, aren’t just about size—they’re a bet on the future of fuel. Equipped with dual-fuel LNG engines and an ammonia-ready design, they’re built to pivot as regulations and technology evolve.
This isn’t Yang Ming’s first foray into alternative fuels. Earlier this year, the carrier ordered six 8,000 TEU methanol dual-fuel containerships, showcasing a diversified approach to decarbonisation. The company’s 2023 order of five 15,500 TEU LNG-powered vessels further underscores its commitment to scaling up with cleaner tech.
The new vessels will feature a Type-B LNG fuel tank with a 1.0 bar design pressure, a first for the industry. Developed by Hanwha Ocean and ABS, this design promises enhanced safety and efficiency, reducing unnecessary gas incineration and future-proofing the ships for shore-power regulations. It’s a clear signal that Yang Ming is betting on LNG as a bridge fuel while keeping an eye on ammonia’s potential.
Yang Ming’s move mirrors a broader trend in the containership segment, which has been the most aggressive in adopting alternative fuels. DNV’s latest industry forecast highlights that containerships lead the way, with over 200 LNG-fueled vessels in operation and another 355 on order. Methanol is also gaining traction, with 36 vessels in service and 206 on order. Overall, containership orders are at record levels, driven by a mix of capacity demand and regulatory pressure.
For Hanwha Ocean, this order marks a significant entry into the Taiwanese market, following a similar deal with Evergreen earlier this year. With a total of 30 vessel orders valued at $5.94 billion this year alone, Hanwha is positioning itself as a key player in the global shipbuilding market.
This order isn’t just about vessels—it’s about strategy. Yang Ming is replacing older, less efficient ships with larger, more fuel-efficient ones, while also preparing for the inevitable shift to alternative fuels. The company’s fleet optimization plan calls for ordering up to 13 vessels ranging between 8,000 and 15,000 TEU, replacing older ships with a capacity of 5,500 to 6,500 TEU.
The containership segment’s aggressive stance on alternative fuels contrasts with other sectors, such as tankers, which have been more cautious, waiting for clearer regulatory signals. But for containership owners, the message is clear: the future is fueled by LNG, methanol, and potentially ammonia. And Yang Ming is leading the charge.