Mitsui Engineering & Shipbuilding and Tsuneishi Shipbuilding form business alliance
Japanese shipbuilders Tsuneishi Shipbuilding and Mitsui Engineering and Shipbuilding (MES) have reached an agreement to make a business alliance in the field of the design and construction of merchant ships, Nikkei reported. Companies will jointly explore opportunities to improve vessel design capabilities, cost competitiveness and to score more orders in future. According to Nikkei, the two companies will remain independent and will collaborate to enhance design development capabilities and cost competitiveness and increase orders, as well. Mitsui will leverage Tsuneishi’s overseas shipyards to build ships at low cost. Tsuneishi is Japan’s ninth-largest shipbuilder, but if its overseas shipyards are included Tsuneishi ranks third, after Imabari Shipbuilding and Japan Marine United. Japanese shipbuilders have been joining forces over the recent period as a means of combatting the industry downturn. They hope to better compete with China and South Korean manufacturers, which between them hold 70% of the global market.