Germany’s Nordic Yards Set to Build Shipyard in Russia

The owner of the shipbuilder, Vitaly Yusufov confirmed that his company is actively considering the possibility of building own facilities, since the trend toward increasing localization is such that the longer, the higher by year the percentage of necessary localization. 

Nordic Yards expects, and this is evident from the practice of holding tenders, that tender documents in our country will define requirements for localization. "But in order to participate in tenders, we have to prove the capabilities of production," he added.

The Wismar-based firm earlier won a contract from Russia's Federal Agency for Sea and River Transport for the construction of two emergency and rescue ice-class vessels.

Nordic Yards also has a contract with the Baltic Shipyard on building the superstructure for the LK-25 diesel ice breaker. However, the Russian shipyard is delaying the contract implementation, making Nordic Yards shift the timeframe of the contract fulfillment.

Yusufov also said he did not rule out establishing a joint venture with a Russian shipyard and buying a stake in it, "if we proceed with long-term cooperation in building fishing vessels, for example."

Nordic Yards is a leading producer of highly specialized ships including ice-going ships and icebreakers. It operates three shipyards in Germany – in Wismar, Rostock and Stralsund. Russian businessman Vitaly Yusufov became company president in 2009.

Yusufov bought Nordic Yards when it was on the verge of bankruptcy in 2009 for 40.5 million euro. The company currently has three yards in Germany - in Wismar; Waremnunde, where cruise ships and ice-class vessels are produced, some of them for MMC Norilsk Nickel; and in Stralsund, where ships for cargo such as automobiles are built.