Chinese Shipyards Bankrupted by Sluggish Demand

China Daily
Thursday, June 28, 2012

Lacking orders, small-sized shipyards in China, face bankruptcy as a result of the sluggish world economy, a glut of vessels and soaring fuel prices

According to 'China Daily' Zhejiang Jingang Shipbuilding Co Ltd, headquartered in the Taizhou city of East China's Zhejiang province, recently filed a bankruptcy petition to the Taizhou Municipal Intermediate People's Court due to its significant loans and lack of new orders.

Most banks regard the export-led shipbuilding industry as "high risk", refusing to underwrite or extend loans to related companies.

The Jingang shipyard is only one among many similar Zhejiang-based shipyards that have suspended business and dismissed employees due to the difficult market conditions.

In June, Ningbo Hengfu Shipping Trade (Group) Co Ltd and Ningbo Beilun Sky Shipbuilding Co Ltd both filed motions to sell off assets.

Industry losses are widespread, as the volume of new orders in 2011 fell 52 percent, according to the China Association of the National Shipbuilding Industry.

New orders totaled 9.45 million deadweight tons, a drop of 47.3 percent from a year earlier. Combined outstanding orders were 134.4 million deadweight tons, down 10.4 percent from the end of 2011.

 



 

Maritime Reporter March 2014 Digital Edition
FREE Maritime Reporter Subscription
Latest Maritime News    rss feeds

Shipbuilding

Eastern Awarded NYC Firefighter Plate

Monday, April 7, 2014, at the Sea Air Space Exposition at the Gaylord National Convention Center - National Harbor, MD, Brian D’Isernia, Eastern Shipbuilding Group,

ESAB Releases Updated Columbus III

ESAB Welding & Cutting Products announces the release of Columbus III version 1.2, a powerful CAD/CAM programming and nesting software optimized for plasma, oxy-fuel, laser and waterjet cutting.

SSI Rep Sponsors Brazilian Offshore Seminar

SSI and its representatives continue to engage with leaders of the shipbuilding and offshore industry to help increase productivity and solve business challenges.

News

ISR Holds Crawler Crane Dedication Ceremony

International Ship Repair & Marine Services, Inc. (ISR) was awarded a $980,260 federal grant from the U.S. Department of Transportation Maritime Administration

Eastern Awarded NYC Firefighter Plate

Monday, April 7, 2014, at the Sea Air Space Exposition at the Gaylord National Convention Center - National Harbor, MD, Brian D’Isernia, Eastern Shipbuilding Group,

ESAB Releases Updated Columbus III

ESAB Welding & Cutting Products announces the release of Columbus III version 1.2, a powerful CAD/CAM programming and nesting software optimized for plasma, oxy-fuel, laser and waterjet cutting.

 
 
Maritime Careers / Shipboard Positions Maritime Contracts Maritime Standards Naval Architecture Navigation Offshore Oil Pipelines Port Authority Shipbuilding / Vessel Construction Winch
rss | archive | history | articles | privacy | contributors | top maritime news | about us | copyright | maritime magazines
maritime security news | shipbuilding news | maritime industry | shipping news | maritime reporting | workboats news | ship design | maritime business

Time taken: 0.2505 sec (4 req/sec)