Japanese heavy machinery makers IHI Corp. and JFE Holdings Inc. said they have agreed to begin concrete talks on merging their shipbuilding subsidiaries, a move that would create 's biggest shipbuilder. The move comes as Japanese shipbuilders face intensifying competition from regional rivals and , the International Tribune reported. IHI and JFE will establish a committee to discuss the details of how operations of IHI subsidiary, IHI Marine United Inc., and its JFE counterpart, Universal Shipbuilding Corp., can be integrated, the companies said in a joint statement. They will also discuss production details, merger ratios and ways to stay competitive in shipbuilding operations, they said.