Vietnam’s shipbuilding industry needs a boost to venture further out to sea

Orders from South Korean and Dutch partners, as well as for offshore engineering service vessels, open up new avenues for Vietnam’s shipbuilding industry. However, appropriate support policies are needed to enable businesses to invest systematically and meet the increasingly high demands of the market.

In October, at the Pha Rung Shipyard, the factory resembled a massive workshop, with the sounds of cutting, welding, and grinding machines echoing everywhere. On the slipway, workers were concentrating on constructing a 13,000 DWT (equivalent to 13,000 tons) oil and chemical tanker.

According to Mr. Vu Huu Chien, General Director, this is one of a series of 10 13,000 DWT oil and chemical tankers that the shipyard is undertaking for a South Korean shipowner starting in the third quarter of 2023. Along with this series, the company has signed contracts and memoranda of understanding to construct a series of 10 6,500 DWT oil and chemical tankers for a South Korean partner, guaranteeing work until 2030.

Notably, these are Handysize vessels capable of carrying both oil and chemicals, requiring high technical standards, especially regarding environmental protection and leak prevention. The labor cost for each 13,000 DWT vessel is approximately $7 million, out of a total vessel value of around $28 million.

This story was originally published by Hellenic Shipping News. Read the full story at Hellenic Shipping News →