OCTOBER 12, 2018 — China's Yangzijiang Shipbuilding (YZJ) is partnering with Japan's Mitsui E&S Shipbuilding and Mitsui & Co. in a joint venture to establish a new shipbuilding company in China.
"The new joint venture is expected to consolidate MES-SC's advanced shipbuilding technology and our cost-effective shipbuilding capability," said YZJ Executive Chairman Mr. Ren Yuanlin. "We are optimistic on China's demand for LNG imports and LNG carriers. The establishment of the new joint venture will enhance YZJ Group's competitiveness and preserve the dominant position for Chinese shipbuilders in the ongoing consolidation of the global shipbuilding industry."
The registered share capital of the joint venture, in which YZJ will hold a 51% stake will be be up to US$99.9 million, and total capital expected to be employed could amount to US$299 million.
The joint venture will focus on the construction of a wide range of commercial vessels. It will have its production base at Yangzijiang's existing Taicang shipyard in Jiangsu, China, and is expected to commence operations in April 2019.