Top 5 Countries Dominating Global Shipbuilding in 2025

The international shipbuilding industry, a cornerstone of maritime trade and logistics, is a highly competitive arena, and in 2025, a few players are expected to cement their position and dominance.

This can be attributed to technological advancements, government support, evolving demand for greener and more efficient ships, excellent port infrastructure and smooth operations.

In 2024, the global shipbuilding market was valued at USD 150.42 billion, with projections to touch USD 155.58 billion in 2025.

The growth is propelled by the rising volume of maritime trade and the consequent increase in demand for modern, eco-friendly, and sustainable ships with efficient onboard systems and effective functionality.

The Asia-Pacific region alone accounts for at least 85% of all shipbuilding activities, with China, South Korea, and Japan being the main contributors.

The Top 5 Dominating Countries in 2025

1. China

China has unquestionably become the world’s biggest shipbuilding nation, a position it is expected to maintain and strengthen in 2025 and the coming years.

The Chinese dominance is due to the availability of a vast and skilled workforce, government subsidies and support, robust industrial policies, investment in research and development and a swift expansion of shipyard capacity.

In 2024, China’s shipbuilders received orders for 46.45 million Compensated Gross Tonnage (CGT), securing 70% of the global market share.

Chinese shipyards are fully booked for the next 3 to 4 years, and no slots are available until 2028 end.

Beijing leads in new ship orders for tankers, container ships, and bulk carriers, with increasing focus on high-value ships and green ship orders, accounting for 78.5% of alternative fuel orders in 2024.

Key players in the Chinese shipbuilding industry include China State Shipbuilding Corporation (CSSC), New Times Shipbuilding, and Yangzijiang Shipbuilding Group.

China not only focuses on manufacturing more and more ships each year, but it also equally emphasises technological innovation and sustainable technological development.

It is investing heavily in new materials, digital shipyard technologies and the development of autonomous and eco-friendly ships.

Concerns about U.S tariffs on Chinese-built vessels may have caused a slight dip in contracting for the first half of 2025, but China’s vast capacity and diversified portfolio ensure its continued leadership. China’s ability to construct any type of vessel gives it a major competitive advantage.

2. South Korea

South Korea is known for constructing high-value and technologically advanced ships.

South Korean shipbuilders bagged orders for 10.98 million CGT in 2024, which is approximately 17% of the global market share.

Its key players include HD Korea Shipbuilding & Offshore Engineering, Hanwha Ocean, and Samsung Heavy Industries, which are top names in the country when it comes to shipbuilding.

South Korea leads in building advanced LNG or Liquefied Natural Gas Carriers, Very Large Crude Carriers or VLCCs and large container ships. They are also focusing on ammonia and LPG Carriers.

South Korea is investing in new LNG ship technologies, AI-based ship intelligence systems, carbon capture and storage or CCS-ready designs.

South Korea’s shipbuilding industry benefits from the rising demand for LNG and LPG carriers and the international environmental regulations pushing for cleaner and greener fuels.

Despite facing competition from China, South Korea’s emphasis on sophisticated, high-tech ships and investments in R&D in green technologies ensures its strong position. One major challenge is labour shortage, but the focus on high-margin projects helps maintain its competitive edge.

3. Japan

Japan was a dominant force in shipbuilding for decades, especially from the 1960s through the 1980s, manufacturing almost half of the world’s new ship tonnage.

Though still a global player, it has fallen to third place, behind China and South Korea.

Japan is shifting its focus towards high-value, specialised ships, such as eco-friendly bulk carriers and those with advanced technologies, rather than just competing on volume with China.

It is exploring arenas like autonomous shipbuilding and other cutting-edge technologies to maintain a competitive edge.

Japan’s order book amounted to 8.38 million CGT in 2024, accounting for 13% of the global market. The country excels in designing and constructing LNG and LPG ships, reefers, and vehicle carriers. A major portion of its 2024 backlog consisted of bulk carriers.

The government has set a goal to double its shipbuilding capacity and increase its global market share in new orders to 20% by 2030.

It includes plans to build a state-backed shipyard and the consolidation of private entities, like a potential merger between Imabari Shipbuilding and Japan Marine United (JMU).

In 2025, the Japanese shipbuilding industry is focusing on providing quality and investing in technological advancements in eco-ships like LNG-fueled car carriers while boosting productivity.

Challenges like an ageing workforce and labour shortage persist, yet governments’ initiatives and private sector consolidation aim to boost Japan’s position, especially in high-value and niche segments.

4. Philippines

The country’s location and its extensive coastline allow it to repair and build a large number of vessels annually. It focuses on building tankers, bulk carriers and container ships for export purposes.

The Filipino maritime industry benefits from significant foreign investment, with companies like Hanjin, Tsuneishi, and Austal establishing operations in the country.

It has medium and large-sized shipyards that can handle several vessel types. Though focused on exports, the country’s robust domestic shipbuilding and ship repair sector caters to the local needs as well.

The Philippines was recognised as one of the top 5 shipbuilding nations in 2023, with 805,938 GT production output, per UNCTAD Review of Maritime Transport Report 2024.

In 2024, Philippine shipyards constructed 4% more vessels than in 2023, totalling 506 locally constructed ships.

Now, it is also building fishing vessels, bulk carriers, passenger ships and tugs, with bulk carriers dominating LCVs for export in 2024.

In 2025, the country is expecting to benefit from building smaller and mid-sized vessels like tankers and bulkers. It has an added advantage from low labour costs and a strategic location in Asia.

The government is also working actively to strengthen the shipbuilding industry so foreign shipyards can locate in the Philippines, boosting capacity and production while creating more employment opportunities.

5. Vietnam

Vietnam’s shipbuilding industry has seen much growth with a focus on both domestic and international markets. The government has encouraged the industry by offering tax incentives and subsidies.

Significant foreign investment, especially from Europe and South Korea, has boosted development, while the country has also invested in improving maritime infrastructure and built many shipyards.

Vietnam has an annual domestic shipbuilding capacity of 3.5 million tonnes for new cargo ship construction.

Its shipbuilding industry demonstrated strong growth in 2024, with the construction and delivery of many specialised ships.

Vietnam’s shipbuilding industry targets to capture 0.8% to 0.9% of global output by 2030. It is emphasising on general cargo ships, container ships, LPG carriers, and other service vessels.

Though difficulties like outdated infrastructure and dependence on imported material remain, benefits from competitive labour costs and government efforts for increased localisation and technological upgrades will propel its rise in the coming years.

Conclusion

The global shipbuilding industry in 2025 is mainly shaped by the prowess of China, South Korea, Japan and emerging economies such as the Philippines and Vietnam. The industry is undergoing a major transformation driven by demand for eco-friendly vessels, greater automation, and smart shipyard technologies. Though traditional shipbuilding powerhouses continue to innovate, the rise of new players highlights the evolving nature of this sector.

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