Zhenghe Shipbuilding suspends operations

Zhenghe Shipbuilding suspends operations

Zhoushan-based Zhejiang Zhenghe Shipbuiding, a subsidiary of Qingdao Zhenghe Shipping, has sent a notice to its employees that the shipyard has suspended operations and asking them to wait for further notice regarding unpaid salaries.

Over one thousand of employees in the shipyard haven’t been paid for several months. Some of them protested at a nearby highway toll station yesterday, in an attempt to get attention from the local government.

Zhenghe Shipbuilding has been suffering from financial issues since 2014, with its parent Zhenghe Shipping previously sued by employees for salary arrears. In May the shipyard applied with a court in Zhoushan for restructuring due to operating difficulties.

Zhenghe Shipbuilding currently has 17 undelivered orders including four 82,000dwt bulkers, ten 67,000dwt bulkers, two 67,349dwt bulkers and one dredger.

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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