News of an eight-tug newbuilding contract and new port projects highlight the strength of the tug market in Southeast Asia.
Tug Technology & Business broke a story on 18 September regarding a contract that saw Taiwan-based shipping group Formosa Plastics order eight tugs for harbour towage and escort duties from an Indonesian shipyard. The news was based on information from BRL Shipping Consultants indicating tugs of three different sizes were ordered from a shipyard operated by Graha Trisaka and scheduled for delivery in 2019 and 2020.
These 25-33 m tugs are thought to be destined for service in Taiwan where Formosa Plastics is a significant producer of raw products for plastics and other chemicals. The move is one of the biggest demonstrations of intent from a major chemicals manufacturer that it will take control of its own export port services.
Formosa Plastics’ order is not the only recent large tug construction contract to come from port operations in southeast Asia, however. Indonesian port group Pelabuhan Indonesia III has ordered 15 tugs built over the last several months to support its harbours. Taken together, the orders are strong indicators that southeast Asian port operators are willing to upgrade their fleets with new tugs built with the latest designs and propulsion technology.
Port authorities and tug owners in the region have also invested in building tugs designed to reduce noxious and greenhouse gas emissions from harbour operations. For example, in Singapore, Keppel Offshore & Marine has, of late, delivered a second LNG-fuelled tug for port operations. Maju Loyalty is a dual-fuel tug operated by Maju Maritime for the Port Authority of Singapore, which has helped fund its bunkering requirements. This tug followed the delivery of KST Liberty, the first LNG-fuelled tug to be built for Singapore operations, christened in April 2018.
Adding to the demand side of the equation is news that new ports are to be built in the region. The latest to be announced is a US$490M port project in Timor Leste led by developers Bolloré Ports, which will open up new container shipping and dry cargo trade routes. Known as Tibar Bay, when the port project opens in 2021, it will need a small fleet of tugs to support ship berthing operations and manoeuvring. It is likely these could built in the region for either the port operator or the company that wins the marine services contract from the port.
In all, these examples demonstrate the strong demand for new tugs in southeast Asia and the trends driving shipyard contracts. It is a future that holds plenty of optimism for the region’s ship builders and tug system suppliers.
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