Cruise cools to China

Image result for china cruises

By Tom Stieghorst
The cruise industry’s gold rush to China, if not over, has entered a new phase: For the first time in at least four years, cruise capacity in China will not grow in 2018.

That means that the focus and management attention that has been lavished on the world’s most populous country may now be turning elsewhere.

To hear evidence of that, listen to the list of places that Norwegian Cruise Line Holdings CEO Frank Del Rio reeled off when asked if he’s ready to put the second ship in China.

“We have many other either unserved or underserved markets that we would also consider in the mix, should ships become available to us,” Del Rio said in response to a question from a Wells Fargo analyst. “We don’t have a presence in the mid-Atlantic states. We’re not in Baltimore. We’re not in Charleston. We don’t have a presence at all in the world’s second-largest port, which is Fort Lauderdale. We don’t have a presence in the Gulf States of Texas or Alabama. We don’t have a year-round presence in Tampa or New Orleans or in Los Angeles.”

Del Rio went on to say that the Norwegian Cruise Line brand will have three ships in Alaska this summer, where some competitors have as many as eight.

“So, given our fleet size today and the fact that we will only be taking one ship per year, it could be a couple of years before we consider adding more tonnage to China, if the conditions in the rest of the world remain as robust as they are today,” Del Rio said.

The Chinese boom really got going in 2014 when Royal Caribbean Cruises Ltd. announced it would devote its brand-new Quantum of the Seas, the first of a new class of ship, to the Chinese market.

In a world full of supposedly bold moves, that one really was. And it prompted other lines for the first time to put brand new ships in China, as everyone feared being left behind in the scramble to impress the Chinese.

Being the preferred brand in a market that was projected to be the biggest in the world in a decade or so was worth the gamble of putting brand new tonnage in an unproven and opaque market.

So when Princess Cruises sent the Majestic Princess to Shanghai last year and Norwegian sent the Norwegian Joy, in addition to the Quantum and ships from Costa Cruises and others, the result was a crowded field.

Throw into the mix the spat between China and South Korea that limited itineraries out of northern China, and China became a much weaker cruise market last year.

While cruise lines insist that they’re in it for the long haul, and even in the short term it has been profitable, the sense that China is going to deliver a big increase in global cruise revenues has been tempered.

Already Norwegian’s focus for 2018 has turned to introducing Norwegian Bliss to the North American market, and in particular the U.S. West Coast. Who knows where else in the U.S. Norwegian ships might be coming next?

Cruise Ship Orderbook

This Cruiseship Orderbok update is by https://www.cruiseindustrynews.com/cruise-news/cruise-ship-orderbook.html and our thanks go to them.
The Cruise Ship Orderbook is by Cruise Industry News, and is in no way related to us.

The global cruise ship order book lists all confirmed cruise ship newbuild orders through 2026.

Cruise Line Ship Cost(1) Tonnage Capacity Yard Sailing Delivery

2018:

Carnival Horizon
$780 135,000 4,000 Fincantieri Eur/Carib March
Royal Caribbean Symphony $1,300 227,625 5,400 STX France Eur/Carib April
MSC Cruises Seaview $950 154,000 4,140 Fincantieri Europe May
TUI Mein Schiff 1 $625 110,000 2,900 Meyer Turku Europe May
Seabourn Ovation $350 40,350 604 Fincantieri World May
Norwegian Bliss $1,100 164,600 4,200 Meyer Alaska/Carib May
expPonant Le Lapérouse $110 10,000 180 VARD World June
Viking Ocean Viking Orion $400 47,000 930 Fincantieri Europe July
expPonant Le Champlain $110 10,000 180 VARD World August
expHurtigruten Roald Amundsen $220 20,000 530 Kleven Europe August
expScenic Eclipse $185 16,500 228 Uljanik Group World August
Star Clippers Flying Clipper $100 8,770 300 Brodosplit World Q3
Celebrity Edge $900 117,000 2,900 STX France Eur/Carib November
Holland America Nieuw Statendam $520 99,000 2,660 Fincantieri Carib November
expMystic Cruises World Explorer $100 9,300 200 West Sea World November
lngAIDA Cruises AIDAnova $950 183,900 5,000 Meyer Europe December

Note: For a full accounting of cruise ship orderbook trends dating back to 1988, please see the Cruise Ship Orderbook Report
Print Icon Download the Current Orderbook as a PDF


2019:

expCoral Expeditions Adventurer $75 5,500 120 VARD Australia Q1
Viking Ocean Viking Jupiter $400 47,000 930 Fincantieri Europe February
MSC Cruises Bellissima $900 167,600 4,500 STX France Europe March
redCosta Cruises Costa Venezia $780 135,500 4,232 Fincantieri China March
expHapag-Lloyd Hans. Nature $155 16,100 230 VARD World April
TUI Mein Schiff 2
$625 110,000 2,900 Meyer Turku Europe Spring
Royal Caribbean Spectrum $950 167,000 4,100 Meyer China Spring
expOceanwide Hondius $85 6,300 196 Brodosplit World May
expCelebrity Flora $75 5,739 100 De Hoop Galapagos May
expHurtigruten Fridtjof Nansen $220 20,000 530 Kleven Europe Summer
Saga Cruises S/Discovery $350 58,250 1,000 Meyer Europe Summer
expPonant Le Bougainville $110 10,000 180 VARD World Summer
expPonant Le Dumont-d’Urville $110 10,000 180 VARD World Summer
expSunStone Greg Mortimer $65 8,000 160 CMIH World August
expSunStone Unnamed $65 8,000 160 CMIH World September
expHapag-Lloyd H/Inspiration $155 16,100 230 VARD World October
lngCosta Cruises Costa Smeralda $950 183,900 5,000 Meyer Turku Europe October
Princess Sky Princess $760 141,000 3,600 Fincantieri Eur/Carib October
MSC Cruises Grandiosa $900 177,100 4,888 STX France Europe November
Carnival Panorama
$780 135,500 4,200 Fincantieri Carib Fall
expAntarctica XXI M/Explorer $50 4,900 100 ASENAV World Q4
redNorwegian Unnamed $1,100 164,600 4,200 Meyer China Q4
Ritz-Carlton Unnamed $225 25,000 298 Barreras TBA Q4

2020:

expLindblad Unnamed $135 TBD 126 Ulstein World Jan
Regent Splendor $478 54,000 738 Fincantieri World Q1
Celebrity Beyond $900 117,000 2,900 STX France TBA Spring
expSunStone Unnamed $65 8,000 160 CMIH World March
Silversea Silver Moon $370 40,700 596 Fincantieri World April
Saga S/Adventure $350 58,250 1,000 Meyer Europe Summer
expSunStone Unnamed $65 8,000 160 CMIH World September
MSC Cruises Unnamed $900 177,100 4,888 STX France Europe September
Royal Caribbean Unnamed
$950 167,000 4,100 Meyer TBA Fall
Virgin Unnamed $710 110,000 2,860 Fincantieri Carib TBA
redCosta Cruises Unnamed $780 135,500 4,232 Fincantieri China TBA
lngP&O Cruises Unnamed $950 183,900 5,200 Meyer TBA TBA
lngCarnival Unnamed $950 183,900 5,000 Meyer Turku TBA TBA
Princess Unnamed $760 141,000 3,600 Fincantieri TBA TBA
redStar Cruises Unnamed $1,100 204,000 5,200 MV Werften China TBA
expCrystal Endeavor $195 20,000 200 MV Werften World TBA

Note: For a full accounting of cruise ship orderbook trends dating back to 1988, please see the Cruise Ship Orderbook Report
Print Icon Download the Current Orderbook as a PDF


2021:

Ritz-Carlton Unnamed $225 25,000 298 Barreras TBA Q1
Royal Caribbean Unnamed $1,300 227,625 5,400 STX France TBA Spring
lngexpPonant Unnamed $324 30,000 270 VARD World Q2
lngCosta Cruises Unnamed $950 183,900 5,000 Meyer Turku TBA TBA
Virgin Unnamed $710 110,000 2,860 Fincantieri TBA TBA
lngDisney Unnamed $900 135,000 2,500 Meyer TBA TBA
MSC Cruises Unnamed $1,100 168,380 4,560 Fincantieri TBA TBA
Celebrity Unnamed $900 117,000 2,900 STX France TBA Fall
lngAIDA Cruises Unnamed $950 183,900 5,000 Meyer TBA TBA
redStar Cruises Unnamed $1,100 204,000 5,200 MV Werften China TBA
Holland America Unnamed $520 99,000 2,660 Fincantieri TBA TBA
Viking Ocean Unnamed $400 47,000 930 Fincantieri Europe TBA
expCrystal Unnamed $195 20,000 200 MV Werften World TBA

2022:

Ritz-Carlton Unnamed $225 25,000 298 Barreras TBA Q1
Crystal Unnamed $900 117,000 1,000 MV Werften World Q1
lngRoyal Caribbean Unnamed $1,100 200,000 5,000 Meyer Turku TBA Q2
Celebrity Unnamed $900 117,000 2,900 STX France TBA Fall
Virgin Unnamed $710 110,000 2,860 Fincantieri TBA TBA
lngMSC Cruises Unnamed $1,200 200,000 5,400 STX France TBA TBA
lngCarnival Unnamed $950 183,900 5,000 Meyer Turku TBA TBA
Princess Unnamed $760 141,000 3,600 Fincantieri TBA TBA
Norwegian Unnamed $850 140,000 3,300 Fincantieri TBA TBA
Viking Ocean Unnamed $400 47,000 930 Fincantieri Europe TBA
Viking Ocean Unnamed $400 47,000 930 Fincantieri Europe TBA
lngDisney Unnamed $900 135,000 2,500 Meyer TBA TBA
Cunard Line Unnamed $600 113,000 3,000 Fincantieri World TBA
expCrystal Unnamed $195 20,000 200 MV Werften World TBA
lngP&O Cruises Unnamed $950 183,900 5,200 Meyer TBA TBA

Note: For a full accounting of cruise ship orderbook trends dating back to 1988, please see the Cruise Ship Orderbook Report
Print Icon Download the Current Orderbook as a PDF


2023:

lngDisney Unnamed $900 135,000 2,500 Meyer TBA TBA
Norwegian Unnamed $850 140,000 3,300 Fincantieri TBA TBA
redCarnival China Unnamed $750 135,000 5,000 CSSC China TBA
MSC Cruises Unnamed $1,100 169,380 4,560 Fincantieri TBA TBA
Viking Ocean Unnamed $400 47,000 930 Fincantieri Europe TBA

2024:

lngRoyal Caribbean Unnamed $1,100 200,000 5,000 Meyer Turku TBA Q2
lngMSC Cruises Unnamed $1,200 200,000 5,400 STX France TBA TBA
Norwegian Unnamed $850 140,000 3,300 Fincantieri TBA TBA
redCarnival China Unnamed $750 135,000 5,000 CSSC China TBA

Note: For a full accounting of cruise ship orderbook trends dating back to 1988, please see the Cruise Ship Orderbook Report
Print Icon Download the Current Orderbook as a PDF


2025:

lngMSC Cruises Unnamed $1,200 200,000 5,400 STX France TBA TBA
Norwegian Unnamed $850 140,000 3,300 Fincantieri TBA TBA

2026:

lngMSC Cruises Unnamed $1,200 200,000 5,400 STX France TBA TBA

Coastal Ships:

DeliveredAmerican Constellation $30 2,000 175 Chesapeake U.S. May 2017
DeliveredLindblad Quest $48 1,800 100 Nichols U.S. Summer 2017
DeliveredAustralis Ventus $50 4,500 210 ASENAV South Am. Q4 2017
American Constitution $30 2,000 175 Chesapeake U.S. May 2018
Lindblad Venture $48 1,800 100 Nichols U.S. Summer 2018
American Song $30 3,000 195 Chesapeake U.S. Fall 2018
American Unnamed $30 3,000 195 Chesapeake U.S. 2019
American Unnamed $30 3,000 195 Chesapeake U.S. 2020
American Unnamed $30 3,000 195 Chesapeake U.S. 2021
American Unnamed $30 3,000 195 Chesapeake U.S. 2022

Note: For a full accounting of cruise ship orderbook trends dating back to 1988, please see the Cruise Ship Orderbook Report

Print Icon Download the Current Orderbook as a PDF

(1) In Millions (USD) | Costs May Be Estimated

lng: LNG Powered

exp: Expedition Vessel

red: China/Asia Market Dedicated Vessel

Delivered: Delivered

TBA: To Be Announced

Last Updated: January 27, 2018

What the year ahead holds for the industry

Image result for Future cruising
Next Gen. Cruise ship for MSC.

Until recently, expedition cruising was a quiet corner of the ocean cruise business, with occasional new tonnage added to a small fleet of spartan ships sailing to wild and majestic places.

The ships are still small, but some are not so spartan anymore, and the expedition niche in 2018 is trending bigger.

By one estimate, at least 18 new expedition vessels are ready to debut over the next 24 months.

Setting the tone was the transfer in 2017 of the original Silversea Cruises ship, the Silver Cloud, to the line’s expedition fleet after conversion to an ice-hardened vessel capable of visiting both polar regions.

In 2018, the parade of new expedition builds begins in June with Le Laperouse, the start of a new class for the luxury expedition brand Ponant, which will add three more of the 180-passenger vessels by mid-2019.

The French brand will be joined this year by Norway’s Hurtigruten, which is expecting a new prototype, the 530-passenger Roald Amundsen, in August. Soon after, Scenic Cruises will take delivery of the 228-passenger Scenic Eclipse, another expedition-style vessel.

And by year’s end, Quark Expeditions plans to take delivery of a 176-passenger ship, currently under construction in Portugal, capable of polar sailing.

The boom is underway in part because small ships for expedition cruising are easier to finance than the $1 billion behemoths now being ordered by contemporary ocean cruise brands. And there is a greater variety of shipyards able to take on the projects.

Companies like Lindblad Expeditions have gone public and are tapping into public equity to finance expansion.
Expedition cruise lines expect that many consumers who have been introduced to cruise vacations by the larger lines in recent years are now familiar with the concept and will be receptive to trying a different kind of cruising.

New technologies

In addition to a bumper crop of expedition ships, 2018 will also see the advancement of technology on larger ships designed to save time and smooth out the points of friction to make cruising more enjoyable.

The technologies go by disparate names: Royal Caribbean International calls its package Excalibur, MSC Cruises has MSC for Me and Carnival has its Ocean platform, which includes the Ocean Medallion and Ocean Compass app. Luca Pronzati, MSC’s chief business innovation officer, said MSC’s technology will provide wayfinding onboard the ships, a reservations function and a more convenient way to access and personalize an activities agenda.

“You can schedule your day in an easy way,” Pronzati said. “It’s really changing the paradigm.”

Passengers can access the information through smartphones, on their in-cabin TVs or at screens in public areas of the ship. Pronzati said that the current functionality of MSC for Me, which is available on the MSC Meraviglia and the MSC Seaside, is a foundation and that the line is working on expanded capabilities, such as a digital concierge service.

Carnival’s Ocean platform, although it debuted for a limited number of passengers on Princess Cruises’ Regal Princess in November, will be rolled out onboard five more ships by the end of 2018.

Carnival expects its phased activation of the Ocean Medallion and Ocean Compass app onboard the Regal Princess to be finished by the first quarter of 2018, with all passengers being able to use it simultaneously thereafter. The two technologies are designed to give each cruise customer a more personalized vacation. It will, for example, provide suggestions for activities, drinks and meals based on stored preferences and proximity to venues on the ship.

Royal Caribbean’s package of onboard technologies, Excalibur, is expected to be on 15% of its fleet, starting with its most-recently delivered ships, within the first few months of 2018. It will be on a majority of Royal’s 25 ships by the end of the year.

One focus of Excalibur is expedited embarkation, which Royal calls “frictionless arrival.” It will allow passengers who input information before arrival come aboard without stopping at a check-in counter. Other applications include using it to order room service, open cabin doors and connect with friends and family onboard.

One of the ships that will benefit from Excalibur is Celebrity’s new Celebrity Edge, the first in a class of four ships ordered so far that will be a prototype for the design of Celebrity’s fleet.

The innovations already announced for the ship include “infinite verandas” in which balcony space is incorporated into a cabin and the Magic Carpet, a 90-ton platform that hangs off one side of the ship and will move between four decks, including the embarkation deck, where it will serve as a shore excursion platform.

Following a December 2018 christening in Fort Lauderdale by Nobel Peace Prize laureate Malala Yousafzai, the Edge will make its first seven-day Caribbean cruise.

Celebrity plans to spend $400 million over the next six years to make the rest of its fleet look more like the Edge class.

The Cuba connection

Some of the oldest ships in the cruise industry will also be part of its newest trend in 2018: expanded cruises to Cuba. Norwegian Cruise Line has tapped the Norwegian Sun for four-day cruises to Cuba from Port Canaveral next summer. The Sun is joining Norwegian’s oldest ship, the Norwegian Sky, which does the itinerary from Miami.

Royal Caribbean is also expanding its capacity to Cuba, putting the 28-year-old Empress of the Seas in Miami for five-, seven- and eight-day trips that for the first time include Cienfuegos and Santiago de Cuba, while its second-oldest ship, the Majesty of the Seas, will provide four- and five-night Cuba itineraries from Tampa.