Shanghai-listed China CSSC Holdings announced on 24 June that the company has secured orders for 163 vessels, totalling 20.57 million dwt, and 10 rigs as of 31 December 2014.
In 2014 the company received orders for 61 vessels, amounting to 8.99 million dwt, and none of these orders have been cancelled.
At the end of 2014, assets under the company’s construction valued CNY8.04 billion, an increase of 58.99% than the beginning of 2014. China CSSC attributed this to the long construction cycle of newbuildings and offshore products.
The more products under construction the company has, the more unsettled payment the company will have, according to its filling to the Shanghai Stock Exchange.
The company has received payments totalling CNY4.7 billion for its contracts from the end of 2014 to May 2015.
In China National Association of Shipbuilding Industry’s (CANSI’s) five-year shipbuilding industry plan for 2016-20, China’s manufacturing capacity of high-technology vessels and offshore facilities will be enhanced to be able to compete with its rivals worldwide.
Shipbuilding sector, especially offshore products, is expected to receive more support from the government in the next decade, according to Meng Lijuan, deputy secretary-general of CANSI.
Guangfa Securities has also projected in its recent reports that Chinese offshore manufacturers will have more chances in future.