A new shipyard could transform the industry
In the wake of the devastating tsunami and the subsequent devastating storm that struck Japan, a new shipbuilding project could revolutionize the shipping industry.
The Japanese government has approved a new project, which is to be led by Mitsubishi Heavy Industries (MSI) and a consortium of private firms.
The consortium has already secured an investment of $10 billion, which will allow it to develop the first ship in this new line of business.
The announcement comes after months of speculation about the new company.
Some speculated that the new shipyards would be set up in remote regions of the country, while others speculated that Mitsubishis efforts would be to build the ships at a site in Shanghai.
As part of the deal, Mitsubashis partners have agreed to help fund a 50 percent stake in the new venture.
In an interview with Reuters, Mitsushishis chief executive officer Kazunori Kato said that the project will be based on the technology developed by Mitsabashis Advanced Shipbuilding and Shipbuilding (MSASB) division.
“MSASb has already delivered many ships to Japan’s coastline and the port of Qingdao,” he said.
“I think this new ship-building project will build on the existing shipyards in Shanghai and Jiangsu, as well as the existing facilities at the port.”
The announcement follows a series of announcements by the government.
In June, the government signed a memorandum of understanding with Mitsubeshis, allowing it to construct and operate a new facility at a new port in Jiangsu.
The agreement was to be signed during the Chinese New Year, but it has now been extended until April.
The contract will include a minimum of 50 percent equity and is set to run until 2023.
A new ship yard for Mitsubashi Heavy Industries was announced earlier this month in Shanghai, which would be used for new construction.
It is understood that the company is planning to build ships from the existing existing facility at the Shanghai port, and that Mitsabas new ship yards will have a capacity of 20 to 30 vessels each.
The new ships will be built by the consortium and will have capacities of 50 to 70 tons each.
Earlier this month, a team of Chinese experts and engineers were appointed to study the feasibility of building a new Mitsuban shipyard in Shanghai that could potentially support a new manufacturing center for Mitsabishis.
The Chinese government announced that it will establish a new task force to study shipbuilding, logistics, and security issues.
This new project will allow the Mitsubus to provide services for Mitsashis shipyards and will also allow Mitsubas workforce to grow at a faster rate, according to a statement by the company.
MSIS said in a statement that it was committed to creating a new and innovative shipyard and to provide a platform for the development of Mitsuboshi-made ship products, which includes the Mitsaboshi-built J-class carrier, the Mitsashimas Y-class patrol craft, the Yagi, and the Mitsoshima Type 5 amphibious frigate.
“This new ship manufacturing facility is set up for Mitsuba Heavy Industries to establish new opportunities in the industry, which could lead to new opportunities for our partners in the future,” said Mr. Kato in the statement.
Sources: Reuters, Bloomberg