Adora Magic City stretches 324 meters in length. Having completed its second sea trials, the vessel is positioned to set a new benchmark for world-class piloting within a few months. It stands as the first cruise liner built entirely in China at the Waigaoqiao Shipbuilding Shipyard in Shanghai. Nearby, Jiangnan Shipyard operates slipways that recently delivered MSC China, a colossal container ship with a capacity of 24,000 TEU. In a related development, Hudong-Zhonghua has designed a ship projected to surpass the dimensions of the famed Q-Max class, such as the 266,000 cubic meter Mozah. The new design is expected to carry as much as 271,000 cubic meters of liquefied natural gas and is anticipated to become the largest of its kind in the world.
All three shipyards share notable common ground beyond their impressive records: they are part of the China State Shipbuilding Corporation, a state-backed conglomerate that has rapidly expanded its footprint in the global shipbuilding market. The scale of this expansion is underscored by industry data showing that a large portion of new ship contracts currently trends toward Asian producers. As of the latest consultancy data, a substantial share of ships under construction worldwide is being built within China, highlighting a pivotal shift in the industry’s geography.
Europe has begun to retreat from the largest segment of merchant shipping. Major European fleets are expanding, while Asian markets provide advantages in cost and financing. European industry groups warn that the breadth of this shift could endanger the broader European shipbuilding supply chain. The Sea Europe association notes that the persistence of regional demand gaps threatens the viability of European yards, unless strategic actions are taken to safeguard domestic capacity.
Experts also caution that Spanish and Dutch shipyards may face fewer orders for smaller merchant ships or offshore vessels if the order books stay filled elsewhere. A recent industry briefing emphasizes that regional authorities have yet to implement targeted measures to cushion the sector. Nevertheless, industry players stress the importance of preserving Europe’s maritime industry through coordinated policy support.
Industry data from the Chinese shipyards association indicates a strong trend toward Made in China vessels. By September, a significant share of new orders worldwide had been placed with Chinese yards, signaling a broad, ongoing shift in global shipbuilding composition. In detail, most merchant ships currently under construction are expected to bear the Made in China label, illustrating how China has become a dominant force in the sector.
Despite the complexity of this global market rebalancing, analysts argue that there remains room to temper the shift toward Asian production. Some voices advocate for protecting Europe’s remaining shipbuilding capacity by leveraging decarbonization opportunities and leveraging lessons drawn from the Covid era and regional disruptions. The aim, they say, is to sustain European yards while remaining adaptable to a fast-changing market landscape.
Specifically, there is support for direct government subsidies and improved financing mechanisms, alongside the adoption of cutting-edge construction technologies in China. The idea is to balance access to new markets while maintaining a robust European industrial base. Industry advocates call for decisive action by European policymakers to align with the evolving strategic role of naval and commercial shipbuilding in a global context.