‘Breakthrough’: Chinese shipyard set to take lucrative orders from Nordic cruise
Shanghai Waigaoqiao, a subsidiary of China State Shipbuilding Corporation (CSSC), has recently made a significant stride in the maritime industry by securing potential orders from a Nordic cruise operator. This marks the entry of Chinese shipyards into the lucrative cruise ship construction sector, challenging the dominance of European firms.
Memorandum of Understanding Signed at SMM Hamburg
The memorandum of understanding (MOU) was signed between Shanghai Waigaoqiao and Nor Cruises from Norway on Wednesday at SMM Hamburg, a renowned trade fair focusing on shipbuilding, machinery, and marine technology in Germany. The deal involves the construction of two 84,000-tonne midsized cruise vessels with an option for three more, as confirmed by Waigaoqiao.
Breakthrough for Chinese Shipbuilding Industry
This MOU signifies a breakthrough for Shanghai Waigaoqiao as it paves the way for the first batch of foreign contracts in the cruise ship sector. It also holds broader implications for China’s shipbuilding industry as a whole, signaling its ambition to scale the value chain and venture into the technology and capital-intensive cruise ship market.
Although Chinese shipyards have traditionally excelled in global cargo and container ship segments, with a strong order book for LNG vessels, breaking into the cruise ship construction market has proven elusive, with European firms holding a firm grip. However, the signing of this MOU marks a significant step towards challenging this status quo.
According to Zeng Ji, a professor of ocean science and engineering at Shanghai Maritime University, this MOU is not just a mere agreement but a crucial step towards future collaboration. He emphasized that the execution of this MOU into a formal order will enable Chinese shipbuilders to showcase their capabilities in undertaking high-end foreign cruise ship projects, potentially disrupting the long-held monopoly by German and Italian shipyards.
In conclusion, the recent agreement between Shanghai Waigaoqiao and Nor Cruises represents a major milestone for the Chinese shipbuilding industry, opening up new opportunities in the competitive cruise ship construction market. This development underscores China’s growing presence in the global maritime industry and its determination to challenge established players in this lucrative sector.
