Wärtsilä's JV with CSSC to Expands Engines Range

By Joseph R. Fonseca
Monday, July 21, 2014

 

Wärtsilä and China State Shipbuilding Corporation (CSSC) have signed an agreement to establish a joint venture for manufacturing medium and large bore medium speed diesel and dual-fuel engines. The CSSC Wärtsilä Engine (Shanghai) Co. Ltd factory will be located at Lingang, Shanghai and is expected to have its first engine ready for delivery by the end of 2015. The company will in particular target the growing offshore and LNG markets, as well as the market for very large container vessels.

The Wärtsilä share of the joint venture is 49 per cent and the size of Wärtsilä's equity investment is approximately EUR 12 million.

The new joint venture company, CSSC Wärtsilä Engine (Shanghai) Co. Ltd, together with two other already existing Wärtsilä joint ventures for medium speed engine production, will now be able to offer the most complete portfolio of Wärtsilä branded medium speed engines in China. It will also be the first China-based company able to manufacture locally large bore medium speed diesel and dual-fuel engines. By being able to produce and deliver locally, the new joint venture will provide CSSC Group and other Chinese yards with closer access to the Wärtsilä range of engines with the benefits of faster delivery times and competitive pricing.

When in full production, the company will manufacture Wärtsilä 26 engines in V-configuration, Wärtsilä 32 main and auxiliary engines, Wärtsilä 46 engines and the Wärtsilä 34DF and Wärtsilä 46DF dual-fuel engines. With LNG becoming increasingly popular as a marine fuel and dual-fuel capability being of increasing importance for both economic and environmental reasons, Wärtsilä’s industry leading dual-fuel offering is a major consideration for Chinese yards.

“This agreement marks an historic moment for our two companies, and it opens the door to exciting new opportunities. China is today the largest shipbuilding nation on earth, and CSSC is the largest shipbuilding company in China. Wärtsilä offers the marine industry’s broadest scope of products, solutions and services, and through this joint venture our two companies can deliver leading edge engine technology that can improve efficiencies and lower operating costs for owners and operators everywhere,” says Jaakko Eskola, Senior Executive Vice President & President, Ship Power, Wärtsilä Corporation.

“This investment demonstrates Wärtsilä’s commitment to supply competitive engine products to its customers in China. Furthermore, it is fully aligned with the central government of China’s 12th Five-Year Plan to significantly increase environmental efficiency and the locally produced content of marine equipment,” adds James Han, President of Wärtsilä China.

“It is a great honour to sign this joint venture agreement with Wärtsilä. Wärtsilä is the leading innovator and the technology leader in developing economic and environmentally sustainable solutions. We look forward to a bright future together,” says Wu Qiang, Vice President, CSSC.

CSSC is one of the largest shipbuilding groups in the world, with ten yards in China accounting for approximately 25 per cent of the country’s newbuild capacity. In 2004 Wärtsilä set up its first joint venture with the CSSC Group when establishing Wartsila CME Zhenjiang Propeller Co Ltd for propeller production.
 

Wärtsilä

Maritime Today


The Maritime Industry's original and most viewed E-News Service

Maritime Reporter January 2016 Digital Edition
FREE Maritime Reporter Subscription
Latest Maritime News    rss feeds

Finance

Long Beach sees Robust Container Growth

The Port of Long Beach kicked off the New Year by logging its seventh straight month of cargo increases, showing a 24.8 percent jump in container shipments over the same month last year.

Maersk Drilling Posts Record Profit

Maersk Drilling delivered the best result ever with a profit of USD 751m (USD 478m) in 2015 generating a ROIC of 9.3% (7.1%). The result was positively impacted

Total Proposes 0.61 ‎€ per Share Dividend

The Board of Directors of Total met on February 10, 2016, and agreed to propose to the Annual Shareholders’ Meeting on May 24, 2016, a 2015 annual dividend of 2.

Energy

Maersk Drilling Posts Record Profit

Maersk Drilling delivered the best result ever with a profit of USD 751m (USD 478m) in 2015 generating a ROIC of 9.3% (7.1%). The result was positively impacted

Total Proposes 0.61 ‎€ per Share Dividend

The Board of Directors of Total met on February 10, 2016, and agreed to propose to the Annual Shareholders’ Meeting on May 24, 2016, a 2015 annual dividend of 2.

Rosneft, Pietro Barbaro Form JV for Shipping

Rosneft and Pietro Barbaro S.p.A. signed a Memorandum of Understanding with the scope of creating a Joint Venture (JV) in the area of international shipping. The

Marine Power

Honda Marine on Display at Miami Boat Show

Honda Marine is set to market its complete range of outboard marine four-stroke engines at the 2016 Miami International Boat Show, February 11-15, 2016.   At this year’s show,

Next Generation Marine Power & Propulsion Conference

The Next Generation Marine Power & Propulsion Conference will be held at the Grand Harbour Hotel, Southampton, U.K. from April 26 to 28, 2016.    This unique

Indonesian Navy Orders MAN Engine for Training Ship

MAN Diesel & Turbo has received an order for an MAN 6L21/31 engine to power a newbuilding cadet training sailing ship for the Defence Ministry of the Republic of Indonesia.

News

Volvo Penta Debuts Innovative Glass Cockpit

The new generation of Glass Cockpit expands Volvo Penta’s collaboration with Garmin for an advanced monitoring and control system that makes boating easier. And its clever application,

Long Beach sees Robust Container Growth

The Port of Long Beach kicked off the New Year by logging its seventh straight month of cargo increases, showing a 24.8 percent jump in container shipments over the same month last year.

Maersk Drilling Posts Record Profit

Maersk Drilling delivered the best result ever with a profit of USD 751m (USD 478m) in 2015 generating a ROIC of 9.3% (7.1%). The result was positively impacted

 
 
Maritime Contracts Maritime Security Maritime Standards Navigation Offshore Oil Pipelines Salvage Ship Electronics Ship Simulators 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: 0.1216 sec (8 req/sec)