Pacific Basin Modifies Bulk Carrier Orders Amid Regulatory Uncertainty
Pacific Basin Shipping has shifted its order for new bulk carriers from dual-fuel designs to conventional vessels, responding to delays in global GHG regulations. The decision aims to minimize capital expenditures in light of uncertainties surrounding maritime fuel transition policies.
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Pacific Basin Shipping has converted an order of four dual-fuel Ultramax vessels to four conventionally-fueled ships, totaling $156.8 million, with deliveries scheduled between 2028 and mid-2029. This change reflects growing uncertainty over global decarbonization regulations after the International Maritime Organization did not finalize its net-zero framework.
Additionally, the company retains an option for two methanol dual-fuel ultramaxes for $91 million, to be delivered in 2030-2031. The firm is also increasing its handysize newbuilding program in China from four to six vessels, with an investment of $59.6 million for two additional ships, set for the second half of 2028. This strategic pivot may mitigate financial risks amid regulatory fluctuations.
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