Chinese shipbuilding companies are merging

According to The Wall Street Journal, China's state-owned China State Shipbuilding Corporation (CSSC) is preparing to incorporate China Shipbuilding Industry Corporation (CSIC) through a stock merger. This was reported by Zamin.uz.

The newly merged company will control approximately twenty percent of the world's total shipbuilding capacity. Its assets and market value are estimated to be in the tens of billions of dollars.

Previously, CSSC and CSIC were part of the same structure, but in 1999, Beijing separated them to develop a competitive environment. CSIC mainly focuses on producing commercial vessels and also has a military maritime division.

For example, CSIC built China's first aircraft carrier — Shandong. The journal emphasizes that by merging these two major companies, Beijing aims to enhance efficiency in the sector and strengthen stability against potential shocks in the industry.

This merger will further solidify China's position in the shipbuilding industry and enhance its competitiveness in the global market. Additionally, the company aims to implement new technologies and expand production capacity in the future.

This step will be of significant importance in achieving China's strategic goals in the maritime industry.