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Resilient Growth in Alternative Fuel Ship Orders Amid Global Slowdown

The global newbuild market may be experiencing a downturn, but the demand for alternative fuel vessels remains strong, showing the industry's ongoing commitment to decarbonization. According to data from DNV's Alternative Fuels Insight (AFI) platform, new orders for alternative fuel vessels reached 14.2 million gross tonnes (GT) in the first half of 2025, marking a remarkable 78% growth compared to 2024.




Key Highlights:
151 vessels were ordered in H1 2025, a slight decrease from 179 in H1 2024, yet the total tonnage surged by 78%, demonstrating a growing preference for larger vessels.
LNG continues to lead, with 87 vessels ordered, comprising 1.42 million GT, primarily in the container ship segment (81 vessels totaling 1.36 million GT).
Methanol-powered vessels have gained significant momentum, with 40 orders covering diverse ship types, including container ships and RoPax ferries, totaling 4.6 million GT.

Despite still being in early adoption stages, ammonia and hydrogen vessels are seeing interest, with 3 and 4 ships respectively on order.

Growth in Fuel Diversity

As the industry moves from the "early adopter" phase to "mainstream" integration, vessel owners are diversifying their fuel choices, ensuring compliance with upcoming IMO regulations. This shift highlights the industry's increasing investment in green technologies and fuels as part of core business strategies.

Infrastructure & LNG Bunkering

Alongside vessel orders, there has been a steady growth in LNG bunker vessel orders, with 13 LNG bunkering ships ordered in H1 2025. This development is crucial, as ensuring the infrastructure to support the widespread adoption of alternative fuels like LNG is key to scaling up green shipping solutions.

As the maritime industry accelerates its decarbonization journey, we can expect a continued uptick in alternative fuel vessel orders, with LNG and methanol leading the charge. This transition is not only driven by regulatory requirements but also by the broader shift toward sustainable shipping practices.

by Xinde Marine News Chen Yang

The opinions expressed herein are the author's and not necessarily those of The Xinde Marine News.

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