French Politics and Markets Cause Cancelation of Sail Boxship Order

 

An innovative project to build five innovative containerships that would have combined sailed and methanol-fueled propulsion has been canceled due to French politics and the overall downturn in the cargo markets. Planned by the firm Zéphyr & Borée, they however said they remain committed to the project and will continue to seek financing.

Last week, the Hyundai Mipo Shipyard in South Korea reported the cancelation of an order in a stock exchange announcement saying it was “upon the shipowner's request to cancel the contract.” They said it was for five vessels with a value of nearly $315 million. The order was placed in May 2023.

Zéphyr & Borée confirmed that it has withdrawn the contract for the ships which were to be an initial class of five feeder ships with a capacity of 1,300 TEU that would have deployed a wing sail design as well as methanol-fueled engines to achieve one of the first zero-emission containerships. The ships had been expected to enter service in 2025 and 2026. 

The reports said the company has experienced difficulties in the public finance markets since the collapse of the French government in July. French President Emmanuel Macron called elections in France and without a clear majority the country has been struggling to form a unity government. The company said this was hindering the French public finance markets but it is hopeful once the political situation stabilizes it can proceed with the financing. 

Zéphyr & Borée also cite the overall downturn in the freight market since the end of the COVID pandemic. They planned to contract with a series of shippers to support the project and launch an Atlantic shipping route. 

It was part of an ambitious plan that also projected to build a larger series of vessels designed to help lead the industry in decarbonization. The vessels however are significantly more expensive to build because of the new technologies. 

The company however was able to deploy a unique proof of concept ship Canopée, which is a Ro-Ro cargo ship used to transport components for the European Space program, It recently made its first visit to the U.S. calling at Port Canaveral creating interest in the concept of integrating sails into the vessel design.