Dalian: The Japanese company Kawasaki Heavy Industries (KHI) is planning to reinvest around RMB1.57bn to increase the shipbuilding capacity of its jv in China.
New shipbuilding facilities of KHI will be constructed at Dalian Cosco KHI Ship Engineering (DACKS), the jv established by KHI and Cosco in 2007. KHI will upgrade the shipbuilding docks, add large-sized cranes and build steel processing workshop at DACKS.
The new facilities are scheduled to be put into operation in October 2017.
Noting how shipbuilding costs are still much lower in China compared to Japan, the further investment is expected to “help the company better compete with the Chinese and Korean shipyards,” KHI said in a release.
The new project will focus on the construction of the large-sized bulk carriers and container vessels. DACKS has also been linked with getting into LNG sjip construction. KHI has a similar joint venture with Cosco in Nantong. [21/11/14]