New Japanese Shipbuilding Alliance Taking Shape?

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MHI

Mitsubishi Heavy Industries (MHI) is set to start discussions toward forming new alliances with three Japanese shipyards: Imabari Shipbuilding, Oshima Shipbuilding and Namura Shipbuilding.

MHI established two new group companies in Nagasaki, Japan, in October 2015, to perform business related to shipbuilding.  This was a part of an initiative targeting structural reform of the company’s commercial ship operations.

Status observation

MHI found later that the environment surrounding the shipbuilding industry has undergone dramatic changes on a global scale.  MHI recognizes the need to undertake swift and progressive steps to secure the competitive strength required by Japan’s shipbuilding industry in order to compete and mark sustained growth in the global marketplace.

MHI notes that the discussions offer strong potential as mutually complementary, synergy-generating partners that would collectively provide Japan’s commercial ship industry with robust global competitive strength.

Target

The move toward forming these alliances targets the integration of MHI’s strengths in shipbuilding technology and engineering with the three prospective partners’ manufacturing capabilities and cost competitiveness.  With the combination of these strengths, the alliances would boost ship development capabilities, enhance negotiation response and enable further cost reductions, thereby accelerating the buildup of competitive strength in the global market.

Technology center

MHI is considering the establishment of a technology center to undertake advanced technology development and education in shipbuilding technologies and skills.  Establishment of the new facility would target the creation of new basic technology and human resources development to disseminate Japan’s commercial ship technologies globally, as a way of carrying on and further developing Japan’s shipbuilding technologies applying MHI’s resources in commercial ship technology.

The near future

MHI plans to issue a broad call for participation in the technology center by Japanese shipbuilders and marine transport companies with the aim of elevating the global presence of Japan’s shipbuilding industry through integration of the diversified knowledge possessed by partners in the industry.    

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Source: MHI