Korean shipbuilders seize bulk of VLGC/VLAC orders as LPG demand surges in Shipbuilding News 01/06/2026 The high-value ship order range of Korean shipbuilders is expanding from liquefied natural gas (LNG) carriers to very large gas carriers and very large ammonia carriers (VLGC/VLAC) that carry liquefied petroleum gas (LPG) and ammonia. As freight rates for LPG carriers remain high due to increased LPG exports from the United States and Middle East risks, shipping companies are placing more newbuilding orders. Korean shipbuilders are leading the market this year, winning about 75% of VLGC/VLAC orders placed worldwide. VLGC/VLAC are high-value ship types with higher prices and technological complexity than general merchant vessels, as they share similar basic designs such as cargo tanks and gas handling systems. Recently, order trends have been shifting toward multi-specification vessels that can carry both LPG and ammonia or can be adapted for future ammonia transport. ◇ Even with transits through the Strait of Hormuz, gas carrier shortage persists According to shipbroking and shipping market firm Fearnleys on the 29th, the spot rate for an 84,000-cubic-meter VLGC in the third week of May was $6 million per month (about 9 billion won), up $300,000 (about 450 million won) from a week earlier. On a simple conversion, that is about $200,000 per day (about 300 million won). Fearnleys said some recently concluded contract rates have again hit a record high on a per-ton basis because there is a shortage of ships to load June cargoes departing the U.S. Gulf. While easing tensions in Middle Eastern straits have somewhat reduced the burden of oil prices and bunker costs, gas carrier freight rates are not easily coming down. With LPG flows increasing from the U.S. Gulf to Asia and operational uncertainty around the Strait of Hormuz prompting shipping companies to redeploy fleets, the number of ships actually available has decreased. Even for the same cargo volume, a longer vo