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Last year, Hanwha Ocean said that it expects the recovery in the LNG newbuilding market to be led by US export projects and the phase-out of steam LNG carriers.
The shipbuilder said in its fourth-quarter report that 15 steam LNG carriers have been sold for demolition in 2025.
This compares to six in 2023 and seven in 2024, according to Hanwha Ocean.
In addition to vessel scrapping, the shipbuilder noted in its quarterly report that demand has been boosted by the recovery of shipping rates since October 2025 and by expected orders linked to new LNG export terminals.
Hanha Ocean also noted a potential shift in demand toward Korean shipyards due to the Ships Act and China-related restrictions.
Discussing the order outlook, the shipbuilder said that the US-led expansion of LNG projects and rising Asia-driven LNG demand are driving newbuild demand.
“Short-term Asia emerging-market demand (China, India) under price sensitivity despite downward price pressure from rising LNG supply, and long-term structural demand growth from electrification and rising living standards in developing economies,” it said.
The shipbuilder also noted that there is “growing FLNG relevance as a cost-efficient, flexible alternative to large onshore LNG plants, enabling faster commercialization of smaller reserves.”
LNG carriers
Hanwha Ocean recently secured a contract valued at approximately $501 million to build two LNG carriers for Greece’s Alpha Gas.
This is Hanwha Ocean’s first LNG carrier order in 2026.
Last year, Hanwha Ocean secured orders for 13 LNG carriers, including seven vessels tied to Norway’s Knutsen.
Last year’s orders also include contracts with its US affiliate Hanwha Philly Shipyard.
In August 2025, Hanwha Ocean announced a contract with Hanwha Philly Shipyard to build a second LNG carrier.
As of the end of December 2025, Hanwha Ocean had 65 LNG vessels worth $16.1 billion in its orderbook.
Hanwha Ocean reported revenue of 12.69 trillion won ($8.7 billion) and operating profit of 1.1 trillion won in 2025, both up compared to last year.