The aim of this paper is to predict the foreign demand for shipbuilding orders based on the economic variables. We employ Engle-Granger two-step cointegration technique, Johansen`s multivariate cointegration methodology and GPH test, because the model must be stationary to get the accuarte predicted values. The empirical results show that our model is stationary as well as mean-reverting. This paper applies variance decompositions to the model, indicating that foreign demands are endogenous to the economic variables.