Charting an efficient course for China’s shipbuilding industry

Web Story

5min

2025-05-26

Over the past 25 years, China’s shipbuilding industry has grown to dominate the global market. At the start of this millennium, China’s share of the global shipbuilding market was around 10 percent, but it has since grown rapidly to a position of dominance.

The Sinorail Bohai Train Ferry, which uses Azipod® propulsion

Figures for 2024 show China’s share of the market has surged past 60% – far ahead of its nearest competitors, South Korea and Japan.¹ In 2024 alone, the order book value for Chinese vessels surpassed $123bn.²

 

Among myriad vessel types being commissioned in Chinese shipyards are Liquid Natural Gas (LNG) carriers, where ABB technology plays a key role in maximising their efficiency.

 

A recent order to supply permanent magnet shaft generator technology to 18 Chinese-built LNG carriers, due for delivery between 2028 and 2030, was part of the largest ever delivery requirement for ABB’s shaft generator solution.

Our permanent magnet shaft generator technology delivers significant efficiency gains

Efficiency gains enabled by our shaft generator technology help reduce both ship operating costs and emissions.

 

A shaft generator draws power from a vessel’s propellor shaft, which is already being driven by its main engines, thus lessening, or removing, the need for additional power generators. 

Harnessing powerful magnets to boost efficiency

Our permanent magnet shaft generator system can result in fuel consumption reductions of up to four percent, when used instead of conventional solutions.

Over a typical large vessel lifespan of 20-25 years, this can bring an estimated $2 million reduction in fuel costs and help avoid 5,000 tons of CO2 emissions. 

A permanent magnet shaft generator during installation

Combined with our ACS880 Converter and Control System, which ensures maximum flexibility and functionality in hybrid applications, the technology can increase fuel efficiency by a further one percent. 

 

Savings of this kind are increasingly valuable to the maritime industry, in light of the International Maritime Organisation (IMO)’s target to achieve net zero greenhouse gas emissions by 2050.

Supporting the transition to offshore wind generation

Another suite of our revolutionary maritime technologies has been installed on a Chinese-built vessel which is itself designed to further the energy transition.

Boreas, an offshore wind turbine installation vessel (WTIV) has been built by the Yantai CIMC Raffles Shipyard, with four Azipod® units as its propulsion source. It was delivered to its Dutch owner, marine contractor Van Oord, last year and is due to begin operations in June 2025.

Van Oord is a major player in the global offshore wind market and has contributed to the installation of wind turbines with a combined renewable energy capacity of 14.5 gigawatts since 2002.

Van Oord offshore wind turbine installation vessel. Credit: Van Oord

One of the largest vessels of its kind – powered by Azipod®

Boreas will be one of the largest and most technologically advanced hybridized WTIVs:

175 meters

Length of vessel

3000 tons

Lifting capacity (in excess of)

126 meters

Leg length: allows operation at depth of up to 70 meters, jacked up

20 megawatts

Power capacity of offshore wind turbines Boreas is able to install

Its four Azipod® propulsion units, with a combined propulsion power of 16 megawatts, offer space and weight savings, allowing design to be optimised for heavier loads. The hybrid-electric propulsion system is future-proof, as it allows integration of new energy sources.

 

In addition, our energy storage system is a back-up power source and reduces engine running hours to minimize wear and fuel consumption.

Van Oord will also have access to the  ABB Ability™ Marine Remote Diagnostic System  for continuous remote monitoring, which allows optimized maintenance. 

15 years of Azipod production in China

In 2026, our Shanghai Azipod® factory, which was set up to meet growing demand for high-end offshore vessels, ferries and yachts, will celebrate 15 years of operation.

The Shanghai Azipod® units are ideally suited to small and medium-sized ships, such as the Sinorail Bohai train ferry, and feature on some of the world’s most environmentally friendly vessels. As of May 2025, it had successfully delivered 240 units with a total output of 872 MW. 

Our Azipod propulsion units have been produced in Shanghai since 2001 

Cutting-edge technology for China’s shipping industry

ABB has provided integrated propulsion systems to a wide range of vessels built in China, with both domestic and global operations. Our Shanghai center allows ABB experts to remotely analyze equipment performance, troubleshoot and diagnose as well as work on maintenance planning and fleet benchmarking.

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