Russia to Set up Three Shipbuilding Holdings in 2007

Tuesday, December 19, 2006
The Russian government will soon adopt a strategy for the development of shipbuilding until 2020, which envisions the creation of three major shipbuilding holdings, the defense minister said Tuesday. The minister said one of the holdings will be set up in Russia's Far East to ensure the development of the shipbuilding industry on the Pacific coast.

The upper house of the Russian parliament recently discussed the current crisis in the civilian shipbuilding industry and issued a statement urging the government to adopt a comprehensive strategy to lead the industry out of the current quagmire. Members of the Federation Council stated that the industrial and technological base of shipbuilding organizations does not meet the requirements of modern shipbuilding and does not provide for competitive production. River, fishery, research and rescue fleets are senseless to upgrade, as they are 80% worn out and must be replaced, the statement said. In an apparent reference to Gazprom's decision to develop the Shtokman field on its own, Ivanov also urged the concentration of efforts on shipbuilding for oil and gas exploration on the continental shelf, especially in the Arctic region. Source: Novosti

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