Nantong Xiangyu Shipbuilding launches operations with chemical tanker orders

Nantong Xiangyu Shipbuilding launches operations with chemical tanker orders

Nantong Xiangyu Shipbuilding & Offshore Engineering, previously known as Nantong Mingde Heavy Industry, held an opening ceremony yesterday and officially commenced operations.

Nantong Xiangyu took over bankrupt Nantong Mingde for RMB576m ($83.8m) through an online auction in January. The company is a joint venture between state run logistics and supply chain investment company Xiamen Xiangyu Group (36%), Nantong Wangzhe Shipbuilding (30%) and China Ocean Industry (24%), with the remaining 10% held by a trust fund established by the three parties.

Nantong Xiangyu has signed a letter of intent with Kai Sheng International Shipping for the construction of a 50,000dwt chemical tanker.

The shipyard also confirmed an earlier reported order from Goldwin Shipping for a 38,800dwt chemical tanker, which will be the first ship built by the shipyard. The order also came with options to build three additional tankers.

According to Deng Qidong, president of Nantong Xiangyu, the shipyard also plans to expand its product portfolio to LPG, LNG, and roro ships. The shipyard has kept most of the employees from Nantong Mingde and invested RMB140m to upgrade the infrastructure of the yard.

Jason Jiang

Jason worked for a number of logistics firms following his English degree, then switched this hands-on experience to writing and has since become one the most prolific writers on the diverse China logistics industry writing for a host of titles including Supply Chain Asia, Cargo Facts and Air Cargo Week. Jason’s access to the biggest shippers with business in China has proved an invaluable source of exclusives.

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