Japanese shipbuilder Kawasaki Heavy Industries (7012.TYO) plans to build liquefied-natural-gas (LNG) carrier in Chinese shipyards, Bloomberg reported. The company estimates that Chinese shipyards are 20% cheaper than their Korean counterparts, which currently control 80% of the market for LNG vessels. Japan’s four major shipbuilders including Kawasaki are counting on upcoming contracts for gas carriers used to ship gas from US shale projects, and have together bid to build vessels that will carry LNG from the Cameron terminal in Louisiana when shipments begin in 2017.
China Economic Review