The South Korean shipbuilding industry is facing a dearth of orders, with DSME and Samsung Heavy achieving just 20% and 6% respectively of their full year 2020 order targets as of May 31. Hyundai Heavy meanwhile has launched a 20% cost cutting plan. Chinese shipyards are in a similar position with new orders having dropped by 24.1% year over year in May and by 1.3% year-to-date. COVID-19 has also caused disruptions to manufacturing and deliveries. As a result exports of ships from China, South Korea and Japan combined fell by 31.6% year over year in the three months to May 31.