Chinese state-owned shipyard Shanhaiguan Shipbuilding has won an order for up to three Panamax crude oil tankers from China Shipping Tanker Co (CS Tanker).

The Shanghai-based owner, a subsidiary of China Shipping Group, has ordered two firm 65,000dwt vessels for delivery towards the end of 2016 with an option for one further vessel. No costs were disclosed.

Brokers indicate these vessels will be used for domestic trade. Shanhaiguan, which is part of China Shipbuilding Industry Corp (CSIC), has mainly built bulkers. This order marks its first move into tankers, which the firm can build up to Aframax. Shanhaiguan aims to further diversify by building containerships of 1,000teu to 4,000teu.