Japan’s leading bulk carrier builders are seeking to take advantage of increased interest in high-efficiency ships to win back market share from China and South Korea.

Their business plans are being developed around marketing Energy Efficiency Design Index (EEDI) Phase 3 vessels, while rivals are offering less-efficient Phase 2 ships.

Under International Maritime Organization regulations, the Phase 3 standard is not mandatory until 2025 but there is increasing interest in such vessels to meet commercial and regulatory monitoring of environmental performance in the coming years.

The Phase 3 standard requires a 30% improvement in energy efficiency compared with 2018 levels, while Phase 2 requires a 20% improvement.

Sanoyas Shipbuilding was the first to win an order for a EEDI Phase 3 bulker in the autumn of last year for an 82,000-dwt kamsarmax from Safe Bulkers.

Sanoyas has since been taken over by Shin Kurushima Dock, which has built LNG dual-fuel car carriers for NYK Line. Shin Kurushima has said its business philosophy is based on “energy efficiency and CO2 reduction".

Oshima Shipbuilding, which has also won orders for Phase 3 bulk carriers, is in talks with Mitsubishi Heavy Industries to take over the Koyagi Shipyard in Nagasaki.

Sources close to Oshima tell TradeWinds that the acquisition is aimed at taking advantage of increased demand for Phase 3 bulk carriers and for an expected upturn in the bulker market.

The yard is hoping that demand for its EEDI Phase 3 ships will help it fill the gap in its order backlog, which currently stands at two years as opposed to its usual three.

Nihon Shipyard, a joint venture shipbuilding company between Imabari Shipbuilding and Japan Marine United, is also understood to be developing a series of EEDI Phase-3 compliant ships.

Mitsui E&S Shipbuilding is building its EEDI Phase 3 ultramax and neo-panamax bulkers at Yangzi-Mitsui Shipbuilding, its Chinese joint venture with Yangzijiang Shipbuilding.

EEDI is a calculation principally involving engine power and cargo capacity.

Yards have been seeking to improve EEDI rating by increasing cargo capacity. A number of yards been marketing 88,000-dwt post-panamax bulkers as an alternative to conventional kamsarmax designs.