Nissen Kaiun books three LR2s at HD Hyundai yards

Japanese shipping giant Nissen Kaiun has contracted three LR2 tankers from South Korea’s HD Hyundai Heavy Industries.

Two of the 115,000 dwt vessels will be built at HD Hyundai’s Agila Subic Shipyard in the Philippines, with delivery slated for the first quarter of 2028. The third will be built at HD Hyundai Vietnam Shipbuilding’s yard in Ninh Phuoc, scheduled for delivery in the fourth quarter of 2028.

Data from industry sources tracking Nissen’s activities shows that the company has inked five newbuilding contracts with HD Hyundai shipyards so far in 2025. In addition to the three LR2s, the owner of more than 200 ships has ordered two midsize LPG carriers from HD Hyundai Mipo Dockyard, priced close to $81m each. These 45,000 cu m vessels are expected to be delivered in the second half of 2027.

The cost of the most recent LR2 orders aligns with current market conditions, with the unit being built in Vietnam priced at $73.5m, while the two Philippine-built tankers were contracted at $72.5m apiece.

The news comes at a time when new tanker contracting has slowed significantly. According to Clarksons Research, only 75 tankers totaling 8.8m dwt have been contracted globally in 2025 to date — a 67% decline year-on-year in dwt terms and 35% below the 10-year average.