Wedoany.com Report-Nov. 1, COSCO has announced a $1.75 billion newbuilding programme to expand and modernize its fleet, covering 29 vessels across key shipping sectors. The plan includes 23 kamsarmax bulk carriers and six very large crude carriers (VLCCs), all to be built at Chinese shipyards with deliveries scheduled between 2027 and 2028.

COSCO Shipping Development, the group’s financing arm, said COSCO Shipping Heavy Industry (Dalian) will construct the 87,000 dwt bulkers under contracts valued at around RMB7.34 billion ($1.03 billion), while Dalian Shipbuilding Industry Corp (DSIC) will handle six 307,000 dwt VLCCs worth RMB5.09 billion ($715 million). The bulkers are to be placed on 20-year bareboat charters with COSCO Shipping Bulk, and the methanol- and LNG-ready VLCCs will enter long-term leases with COSCO Shipping Energy Transportation. Deliveries are planned to start in April 2027 and continue through late 2028.

COSCO said the newbuilds align with its strategy to modernize and decarbonize the fleet through dual-fuel designs and long-term operating structures within the group. The bulkers’ dual-fuel capabilities are expected to support carbon-reduction goals, while the VLCCs’ methanol- and LNG-readiness enhances flexibility in energy transportation.

This announcement follows earlier orders this year, including 10 newcastlemax bulkers and four asphalt carriers, being built at CSSC Qingdao Beihai, COSCO Zhoushan, and CSSC Huangpu Wenchong. These projects are also arranged under long-term charters through various COSCO subsidiaries, reflecting the group’s continued focus on fleet renewal and operational efficiency.

The latest programme builds on COSCO’s broader expansion strategy announced last year. The company has already secured multiple newbuild contracts across Chinese shipyards, covering bulkers, multipurpose vessels, and other vessel types. COSCO’s approach combines modern ship designs with long-term charter arrangements to optimize fleet utilization and support decarbonization targets.

By leveraging domestic shipbuilding capacity, COSCO reinforces its fleet renewal strategy while enhancing energy efficiency and reducing emissions through advanced dual-fuel technologies. The initiative underscores the group’s commitment to maintaining a competitive, sustainable fleet capable of meeting growing global shipping demand.

Overall, the $1.75 billion investment in 29 new vessels marks a significant step in COSCO’s long-term fleet modernization plan, strengthening its presence across bulk and energy transportation segments while integrating dual-fuel capabilities to support sustainability objectives. Deliveries over 2027–2028 are expected to reinforce COSCO’s operational efficiency and long-term strategic positioning in global shipping markets.