New ship construction orders at Japanese yards dropped more than 40 per cent in April versus the previous month, signalling capacity constraints following a wave of orders seen in recent months, industry sources said.
In April, a total of 1.082 million gross tonnes or 24 new vessels were put on order with Japanese shipbuilders, down 747,843 gross tonnes or 20 vessels from March, data from the Japan Ship Centre showed. April's orders were 24.6 per cent lower when compared to the same period in 2006.
Contracts for the combined orders were about US$943 million, data from the Japan Ship Centre showed.
Nine orders were paid for in US dollar cash payments, while 15 vessels were paid for in Japanese yen cash payments.
Analysts said that the plunge in the order book could be a sign that the Japanese yards are now facing bottlenecks beyond 2009.
'This is a sign that the yards are backing up again, and they are probably going to be at capacity past 2011 and 2012,' a Hong Kong-based shipping analyst with a US bank said.
A total of the 22 ships placed on order were slated for export, of which about 60 per cent were for bulk carriers.
The one oil tanker order was for domestic requirements.
Bulk carriers are typically used for the transportation of raw materials and commodities such as coal and iron ore.
Average Baltic Exchange time charter rates for capesize vessels, ships typically over 80,000 tonnes, hit a record high earlier this month at about US$114,000.
In April, a total of 1.082 million gross tonnes or 24 new vessels were put on order with Japanese shipbuilders, down 747,843 gross tonnes or 20 vessels from March, data from the Japan Ship Centre showed. April's orders were 24.6 per cent lower when compared to the same period in 2006.
Contracts for the combined orders were about US$943 million, data from the Japan Ship Centre showed.
Nine orders were paid for in US dollar cash payments, while 15 vessels were paid for in Japanese yen cash payments.
Analysts said that the plunge in the order book could be a sign that the Japanese yards are now facing bottlenecks beyond 2009.
'This is a sign that the yards are backing up again, and they are probably going to be at capacity past 2011 and 2012,' a Hong Kong-based shipping analyst with a US bank said.
A total of the 22 ships placed on order were slated for export, of which about 60 per cent were for bulk carriers.
The one oil tanker order was for domestic requirements.
Bulk carriers are typically used for the transportation of raw materials and commodities such as coal and iron ore.
Average Baltic Exchange time charter rates for capesize vessels, ships typically over 80,000 tonnes, hit a record high earlier this month at about US$114,000.