LNG gains ground in shipping as an alternative fuel

Liquefied earthy state (LNG) is emerging arsenic the shipping industry’s preferred alternate substance for commercialized vessels.

Although the International Maritime Organization’s subordinate states person yet to scope a regulatory statement connected a viable decarbonisation pathway for shipping—one that balances emissions simplification with the sector’s operational demands, fixed that much than 80% of planetary trade is transported by sea—the maritime industry, operating successful existent time, is steadily investing some successful conventionally fuelled vessels equipped with state-of-the-art technologies that trim substance depletion by much than 40% compared to 5 years ago, and successful dual-fuel engines susceptible of operating connected LNG. Conventional fuels, however, still relationship for implicit 90% of the planetary progressive fleet and orderbook.

This is reflected successful the latest Lloyd’s Register (LR) report, which shows that by March 2026 the LNG dual-fuel fleet has reached 1,665 vessels, with different 982 connected order, importantly expanding the planetary fleet susceptible of operating connected state arsenic a marine fuel.

LNG continues to predominate arsenic the superior alternate substance within the existent orderbook. Growth is peculiarly driven by the instrumentality shipping segment, which is acceptable to much than treble its LNG-capable fleet, while cruise operators, tanker owners, and PCC/RoRo segments are besides accelerating adoption. According to IHS data, LNG dual-fuel vessels relationship for astir one-quarter of installed propulsion capableness successful the planetary orderbook.

Across each vessel segments, the stock of installed capableness attributable to LNG-capable ships is importantly higher. For example, successful instrumentality shipping, LNG-capable vessels presently correspond 3.8% of installed capacity. Once the existing orderbook is delivered, this fig is expected to emergence to 46.3%.

The information sends a wide signal: request for LNG-capable vessels is expanding sharply, some successful terms of bid volumes and the standard of dual-fuel applications—indicating increasing maturity successful some the technology and planetary substance availability.

The very ample crude bearer (VLCC) conception remains a small but expanding marketplace for LNG arsenic a marine fuel, with 22 vessels successful cognition and 13 connected bid (as of December 2025).

In 2023, 4 LNG dual-fuel VLCCs were built by Hanwha Ocean (formerly Daewoo Shipbuilding & Marine Engineering) for tanker relation Advantage Tankers.

These vessels were delivered under the Neptune project, which included the archetypal ten LNG dual-fuel VLCCs—all classed by LR—with Advantage Verdict being the archetypal delivery.

In summation to the 4 Advantage vessels, three were built for AET and different three for International Seaways.

Green transition

According to Lloyd’s Register, LNG remains the astir cost-effective alternate substance pathway done to 2050 under each regulatory scenarios considered to date. The study besides indicates that blending LNG with bio-LNG and e-LNG could further heighten its competitiveness, enabling LNG-fuelled vessels to make compliance surpluses during the aboriginal phases of caller regulatory regimes.