A Chinese shipbuilder emerged as the world’s No. 5 player by order backlog in November, data showed Tuesday, posing a threat to South Korean shipyards which had been dominating the top five list for years.

According to the data compiled by Clarkson Research Services, Shanghai Waigaoqiao Shipbuilding had an order backlog of 3.03 million compensated gross tons (CGTs) as of end-November, beating South Korea’s Hyundai Mipo Dockyard Co. that held 2.84 million CGTs.

Daewoo Shipbuilding & Marine Engineering Co. captured the top spot with 8.24 million CGTs, trailed by Samsung Heavy Industries Co. with 5.03 million CGTs and Hyundai Heavy Industries Co. with 5 million CGTs, the data also showed.

Hyundai Samho Heavy Industries Co. ranked fourth with 3.92 million CGTs.

South Korean shipbuilders have been facing challenges throughout 2015 with key players posting net losses amid an industry wide slump and rising costs.

The country’s top three players logged a combined loss of 4.7 trillion won (US$4.03 billion) in the first half of the year, with the losses expected to amount to over 7 trillion won for the full year as there’s a delay in the construction of offshore facilities and a drop in new orders.

Industry watchers said Chinese players are expected to speed up efforts to catch up to South Korean rivals on the back of state-backed support.

The Original Posted by colin@yna.co.kr