China Cosco Shipping Corportion (Coscocs) is establishing new shipbuilding entity China Cosco Shipping Heavy Industry to integrate its shipbuilding business, following the group’s business restructuring of its dry bulk shipping, tanker shipping, container shipping and financing sectors.
According to a source at Coscocs , Liang Yanfeng, general manager of Cosco Shipyards will be appointed as the head of China Cosco Shipping Heavy Industry.
In September Coscocs started to restructure its shipbuilding and ship repair assets, including Cosco Shipyards, China Shipping Industry, NACKS and DACKS, under one roof.
According to the restructuring plan, the group is going to cut its total shipbuilding capacity from 12.05m dwt to 10.60m dwt by the end of 2017 and further reduce capacity to 9.6m dwt by the end of 2020. China Shipping Industry’s Jiangsu yard will also be shut down.