Two of three South Korea’s major shipbuilders have failed to win any contracts so far this year.

According to Samsung Heavy Industries and Daewoo Shipbuilding & Marine Engineering on Wednesday, the two companies did not obtain any new orders during the first three months of the year, marking the first time ever for both companies to fail to clinch any orders in the first quarter.

South Korea's other main shipbuilder and the world's largest Hyundai Heavy Industries won two contracts in March to build an oil carrier for a buyer in the Middle East.

A local industry insider said that the global shipbuilding market is showing little sign of recovery and predicted that South Korean shipbuilders' order backlog will run out toward the end of the year.

The source added if the trend holds up, local shipbuilders will likely have to conduct massive layoffs next year.