Global spending on new ships fell 88% last year, Clarkson Says

LONDON (Bloomberg) — Spending on new ships plunged 88 percent last year as the global recession sapped funding and charter rates retreated, Clarkson Research Services Ltd. said.

Companies ordered vessels worth a combined $17.9 billion, down from $153.6 billion in 2008, the shipbroker said in a report on its website.

Freight rates for commodity carriers and oil tankers averaged at least 50 percent less last year as a drop in world trade curtailed demand for cargoes, according to data from the London-based Baltic Exchange. Bank lending to the shipping industry shrank as ship prices declined.

Brazilian companies ordered $3.1 billion of ships, making them the biggest spenders. Chinese firms spent $2.9 billion and Greek shipping lines $1.8 billion.

Cosco Shipping says 2009 profit probably fell more than 90%

SHANGHAI (Bloomberg) — Cosco Shipping Co. said that 2009 profit probably fell more than 90 percent from a year earlier, citing preliminary estimates in a statement to Shanghai's stock exchange.

China Shipping Development expects more than 50% drop in profit

BEIJING (Bloomberg) — China Shipping Development Co. said that it expects 2009 profit to fall more than 50 percent from a year earlier, citing unaudited figures.