Japanese export ship orders surged 88.5 percent in October compared with a year ago to 675,300 gross tons, according to figures released by the Japan Ship Exporters' Association.

Climbing back after 15 months of steep decline in the global recession, ship orders have grown by large double digits and sometimes into triple digits in the last 11 months. In August the gain was 111.3 percent.

Takao Motoyama, chairman of the Shipbuilders' Association of Japan, said at a press conference this week that Japanese ship orders are recovering. "The worst is over," he said.

In October, Japanese shipbuilders received orders for 20 export ships -- 16 bulk carriers, two oil tankers and two general cargo vessels.

In the first 10 months of 2010, orders totaled 9.4 million gross tons, up 94.2 percent from the same period last year but still only a little more than half the 18.6 million gross tons ordered during the same 10-month period of 2008.

Motoyama, who is also chairman of Mitsui Engineering and Shipbuilding, painted a cautious picture of the Japanese shipbuilding industry, citing such factors as uncertainty over prices for materials and equipment and the appreciation of the yen.

The sharp rise in the value of the yen since this summer has "put Japanese shipbuilders at a disadvantage in terms of cost competitiveness vis-à-vis rival South Korean and Chinese shipbuilders," Motoyama said.
Source:(www.joc.com)