Public Meeting on the Investment Environment In Yangzhou

— Public meeting on the investment environment of the Hanjiang Shipbuilding (and Heavy Industry) Industrial Park and Sinopacific Shipbuilding Affiliated Industrial Base is held in Yangzhou

Yangzhou, April 26, 2011 —— A public meeting on the investment environment of the Hanjiang Shipbuilding (and Heavy Industry) Industrial Park and Sinopacific Shipbuilding Affiliated Industrial Base was held in Yangzhou today. Attending this public meeting were city government leaders such as Yangzhou City People’s Government Deputy Mayor Wen Daocai, district government leaders such as Hanjiang District Party Committee Secretary Cheng Yusong, Sinopacific Shipbuilding Group Chairman and CEO Liang Xiaolei, Sinopacific Chief Construction Officer Wang Jianding, Sinopacific Assistant to the CEO Lou Jiwei, and representatives from more than 100 important marine auxiliary equipment factories and shipowners. At the meeting, Yangzhou City People’s Government Deputy Mayor Wen Daocai first gave a welcome speech, and then leaders from Yangzhou City and Hanjiang District respectively gave important speeches concerning the planning for the marine industry in Yangzhou during the 12th Five-Year Plan and the strategies to support its development as well as the policies for company recruitment and investment attraction in the Hanjiang Shipbuilding (and Heavy Industry) Industrial Park during the 12th Five-Year Plan. Sinopacific Shipbuilding Group Chairman and CEO Liang Xiaolei then introduced the current status and future development plans of the Sinopacific Shipbuilding Affiliated Industrial Base, which he described as a successful experiment for government-enterprise cooperation based on the proactive exploration of innovation by a privately-owned shipbuilding enterprise. After the conclusion of the public meeting, Yangzhou City People’s Government Mayor Xie Zhengyi held friendly discussions with Sinopacific Shipbuilding Group Chairman and CEO Liang Xiaolei, Sinopacific Chief Construction Officer Wang Jianding, Sinopacific Assistant to the CEO Lou Jiwei, and representatives from important factories.

In 2010, China passed South Korea to become number one in the world in terms of the three main indicators of accomplished shipbuilding output, newly received order quantity, and on-hand order quantity. As an important component of the modern shipbuilding industry, the marine auxiliary equipment industry achieved an output value of 76.9 billion in 2010, a growth of 25.5% over the previous year, but the growth of the localization rate has progressed slowly. Imports are still depended upon for the most important ship parts such as diesel generators, propellers, blades, and communications and navigation equipment. "This was the background that required the birth of the Hanjiang Shipbuilding (and Heavy Industry) Industrial Park," said Yangzhou City People’s Government Deputy Mayor Wen Daocai, "The shipbuilding industry is one of the key industries which Yangzhou must support during the 12th Five-Year Plan, and the Hanjiang Shipbuilding (and Heavy Industry) Industrial Park is one of the key industry clusters that Yangzhou will support as part of its '20 Billion' program. It is estimated that in the next two to three years, an industry cluster will form in the region with 2 million tons of steel for shipbuilding, 3 million tons of steel for marine auxiliary equipment, and 60 billion RMB output value for the marine auxiliary equipment industry and heavy industry, making it one of the important shipbuilding and marine auxiliary equipment industry bases in the Yangtze Delta region."

The Sinopacific Shipbuilding Group has complemented the government's strategy for development and relied on its own advantages as a leader in the shipbuilding industry to establish the Sinopacific Shipbuilding Affiliated Industrial Base in cooperation with the Hanjiang District Government. "The development of the Sinopacific Shipbuilding Affiliated Industrial Base has benefited from the strong support from the Yangzhou and Hanjiang governments, and this cooperation has established an effective development model for the marine industry," stated the Sinopacific Shipbuilding Group's Assistant to the CEO Lou Jiwei, "The Sinopacific Shipbuilding Group will continue to actively make use of the good business environment, rely on our autonomous innovations and modern management methods, and strive to bring about industry upgrades and breakthroughs to do what we can to promote the competitiveness of the marine auxiliary equipment industry in Yangzhou and even the entire Yangtze Delta region."

The Sinopacific Shipbuilding Group's Dayang Shipyard is currently one of the most efficient shipyards in China in terms of shipbuilding production efficiency, and it has set many records in the Chinese shipbuilding industry. The products built by the Dayang Shipyard, including the Crown58 (58,000DWT), the Crown63 (63,000DWT), and the Crown118 (118,000DWT) which were autonomously developed and designed by the Sinopacific Shipbuilding Group, have world-class performance indicators in comparison with products of the same class. In addition, the Dayang Shipyard, with an orientation on product innovation, also uses a knowledge-intensive agile manufacturing style to combine design and manufacturing in the organic integration of personnel, technology, management, information, and logistics in hopes of improving efficiency as much as possible. The goal for the Dayang Shipyard in 2012 is to produce 24 ships a year at each dock, while the goal for 2014 is to produce 40 ships a year at each dock.

 

Source: Sinopacific Shipbuilding Group’s