Ocean Network Express (one), a Japanese container shipping company, has formulated an investment plan of US $20 billion over the next decade, most of which is used for new ships to help achieve the goal of decarbonization.

Jeremy Nixon, CEO of one, revealed on March 23 the investment plan of US $20 billion from 2022 to 2030, of which more than 50% will be used for new shipbuilding, and the rest will be used in other fields such as terminals, technology and containers.

Jeremy Nixon said the investment strategy would be equivalent to about $2 billion a year. Referring to the new ship, he said: "since 2020 and 2021, we have been actively striving for medium and long-term charter tonnage."

It is reported that so far, one has rented 38 ships and delivered them to its fleet from 2020 to 2024, with a transportation capacity of 7000 TEU to 24000 TEU.

"So this process has begun. These assets will soon go online and replace the expiring ships. It will also help to improve our overall efficiency and cabin cost, and reduce our carbon footprint."

In order to meet the target of one new shipbuilding capacity and decarbonization standard every year. The company expects to add about 1.2 million TEUs of new capacity between 2022 and 2030. Considering the replacement of tonnage, the fleet will increase about 600000 TEUs during this period.

In terms of one's future fleet composition, there will be some changes as it returns ships from its shareholders (NYK, Mitsui OSK lines and K line) and seeks longer-term leases and may have more own tonnage. Jeremy Nixon explained that by 2021, about 75% of its fleet will be chartered from its shareholders, but that proportion will fall to about 20% by 2030.

Jeremy Nixon did not disclose the details of the new order plan, but said: "if we consider potential more orders in the future, it may not only be charter, but may actually be direct order."

According to alphaliner's data, one currently has 1.52 million TEU and is currently the sixth largest container shipping company in the world.

With regard to the ratio of Chartered ships to self owned ships, he said that the company had no specific commitment. However, it will no longer have so many short-term charters. "We really want to take back control and have more long-term core tonnage and long-term charter contracts."

The new shipbuilding strategy is part of one's goal of achieving net zero emissions by 2050. Jeremy Nixon said there was not enough green fuel for the industry to achieve zero carbon emissions soon. It was a long journey. The company is studying different green fuels, including hydrogen, ammonia and methanol.

"So at this stage, we are entering a stage where we start building new ships, and every year when we make investment choices, we focus on the latest technology and try to ensure that we make decisions suitable for the short, medium and long term." Jeremy Nixon said. (source: maritime service network)