Two vessels worth 1.8 billion! China Merchants Ship Signs Its First Order for Shuttle Tankers

On the evening of January 5, China Merchants Ship announced that it had ordered one plus one shuttle tankers from Dalian Shipbuilding. This marks China Merchants Ship’s first entry into the shuttle tanker market.

According to the announcement, on December 31, 2025, China Merchants Ship, through its wholly-owned subsidiary Haihong Shipping (Hong Kong) Co., Ltd., signed a Shipbuilding Agreement with Dalian Shipbuilding Industry Group Co., Ltd. for the construction of one plus one Suezmax DP2-class dynamically positioned shuttle tankers with a deadweight tonnage of 154,000 tons each (DPST). The total agreed price amounts to approximately RMB 1.79 billion, equivalent to RMB 895 million per vessel. The new vessels are scheduled for delivery in 2028.

A shuttle tanker is a specialized vessel designed specifically for transporting oil from offshore oilfields to onshore facilities. It is equipped with a bow-loading system, a dynamic positioning system, and a helicopter landing platform. Its construction cost is significantly higher than that of oil tankers of comparable tonnage. For reference, according to Clarkson data, the current price of a new Suezmax tanker with a deadweight tonnage of 156,000–158,000 tons is approximately US$86 million (about RMB 601 million), representing a decrease of roughly 4% compared to the US$90 million recorded during the same period last year.

China Merchants Ship stated that, in order to meet the capacity demands of its core customers for dynamically positioned shuttle tankers in deepwater oilfield development projects, the company plans to invest in the construction of one plus one dynamically positioned shuttle tankers and has signed long-term time charter contracts with its customers. On December 5, 2025, China Merchants Ship held the 25th meeting of its 7th Board of Directors, at which the board approved the company’s order for one plus one dynamically positioned Suezmax shuttle tankers and the signing of long-term transportation agreements with its customers.

Earlier reports indicated that the first shuttle tanker ordered by China Merchants Ship, once delivered, will serve a long-term charter agreement with CNOOC and be used for operations in South American oilfields.

This is a rare order for shuttle tankers received by Dalian Shipbuilding in recent years. According to Clarkson’s data, the last time Dalian Shipbuilding secured a shuttle tanker order was back in July 2021, when Beihai Shipping placed an additional order with Dalian Shipbuilding for a second 155,000-ton shuttle tanker. This series of vessels was custom-built specifically for CNOOC’s offshore oilfield projects in Brazil and represents the first batch of Suezmax-class shuttle tankers ordered by domestic shipowners.

It is understood that Dalian Shipbuilding is one of the shipyards most favored by China Merchants Shipping. The cooperation between the two parties began in 2007. To date, the Dalian Shipbuilding headquarters has built nearly 60 vessels of various types for China Merchants Shipping.

China Merchants Ship is a specialized shipping company focused on both international and domestic cargo transportation. The company’s core business areas include oil product transportation, gas transportation, dry bulk cargo transportation, roll-on/roll-off (RORO) transportation, and container transportation. It boasts a world-class fleet of Very Large Crude Carriers (VLCCs) and Ultra Large Ore Carriers (VLOCs), a domestically leading fleet of liquefied natural gas (LNG) vessels and RORO ships, as well as an Asia-Pacific-leading container fleet. Currently, the company operates and manages over 350 vessels, placing its capacity among the largest globally. Among these, its VLCC and VLOC fleets rank first worldwide in size; its LNG fleet has rapidly established significant influence globally; its RORO fleet is a domestic leader, with an annual vehicle transport capacity exceeding one million vehicles; and its container fleet serves a network covering major ports along China’s coastline and throughout the Asia-Pacific region.

Excluding the latest orders, Clarkson’s data show that Dalian Shipbuilding Industry Group currently holds a total of 177 ship orders totaling 29.61 million deadweight tons. This includes 1 floating production storage and offloading vessel (FPSO) from Dalian Shipbuilding, 54 oil tankers, 16 LNG carriers with a capacity of 175,000 cubic meters, and 3 deck cargo vessels—altogether 74 ships with a combined deadweight tonnage of 12.83 million tons. Shan Chuan Heavy Industry has 34 oil tankers, 7 container ships, and 4 bulk carriers—a total of 45 ships with a combined deadweight tonnage of 4.76 million tons. Additionally, Dalian Tianjin Shipyard has 23 oil tankers, 21 container ships, and 14 bulk carriers—a total of 58 ships with a combined deadweight tonnage of 12.02 million tons. Delivery schedules for these vessels extend through 2030.