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Business

Kawasaki Heavy moving most shipbuilding to China

Mainland yards to handle 70% of Japanese company's commercial shipbuilding

Kawasaki Heavy Industries is building a new dock at its joint venture in Dalian, China.

TOKYO -- Kawasaki Heavy Industries will step up commercial shipbuilding in China and scale down production in Japan to improve cost competitiveness as the market rebounds from a yearslong slump.

The Japanese company plans a 50% capacity boost at a shipyard in Dalian, Liaoning Province, that builds mainly large ships, including tankers and bulk carriers. The facility is jointly operated with China Ocean Shipping (Group) Co., also known as Cosco. More than 20 billion yen ($176 million) will be invested at the site, including construction of a second dock about 550 meters long.

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