China Shipping Development Company has put pen to paper on contracts for 14 dry-cargo newbuildings worth over $420m.

Shanghai and Hong Kong-listed CSDC says it has ordered a dozen 46,200-dwt bulkers and a brace of 53,000-dwt ships via two subsidiaries.

In a statement to the Shanghai exchange it says the first 12 bulkers, booked by Shenhua Zhonghai Shipping, will cost CNY 2.4bn ($353.31m). CSDC holds a 49% stake in Zhenhua Zhonghai.

The remaining two vessels, ordered for Jiahe Shipping, in which CSDC owns a 51% stake, will come at a cost of CNY 480m.

CSDC does not say which yards will build the ships or when they will be delivered.

It banked a profit of CNY 979m in the six months to 30 June against the CNY 615m logged in the same leg of 2009, it announced yesterday.

CSDC had a fleet of 65 tankers and 103 bulkers at the end of June. It had a further 49 newbuildings on order.

"As domestic and global economy fluctuated, the shipping market conditions for the second half of the year is unlikely to be promising, and the group expects the situation in the second half of 2010 to be more difficult than it was in the first half of the year in terms of operation," CSDC's interim report said.