Myanma Shipyards will link up with a Vietnamese shipbuilder to form a joint venture company.
The agreement between the Ministry of Transport’s Myanma Shipyards and Dong A Shipbuilding Industry Joint Stock Company is inked.
The JV will see US$175.4 million invested in the firm. Myanma Shipyards will invest $89.5 million to take a 51 percent share in the project, with Dong A Shipbuilding holding the rest of the project.
The joint venture is aimed at attracting more foreign orders for domestically-produced vessels.
Forty-five year old Myanma Shipyard is known in the Southeast Asia region, and it is hoped the move will attract customers from further afield, ordering larger vessels of up to 22,000 dwt. A new dockyard and an upgrade of existing facilities are planned.
Following the signing, the joint venture made deal with three other companies on construction of clinic boat, fish trawler and 30 container vessel, general cargo and tankers, the Ministry of Transport was quoted as saying.
Meanwhile, the dock of Myanmar Shipyards will also be upgraded to build vessels of 22,000 dwt and repair vessels of 3,000 dwt in addition to other dock-related business under the joint venture.