The marketing divisions of three of China's largest shipbuilders, Shanghai Waigaoqiao, Hudong Zhongua and Jiangnan Shipyard, are being merged under a new company, to be known as China Shipbuilding & Trading Co International (CSTCI). Headquartered in Shanghai, it will offer increased international marketing clout to the shipyards that are keen to compete with shipyards in South Korea and Japan, and resurrect what has become a flagging industry for China because of falling prices.
Under a central organisation in Shanghai, the three yards will now be able to perform their tasks on a one-to-one basis with potential customers, and not wait for brokers to conduct their own procedures for new building contracts.
Furthermore, marketing and sales teams at the three China shipyards admit their tasks have become more complicated because they are expected to provide more technical and project management details as they try to secure new building contracts. Under the new marketing strategy, CSTCI will act independently outside the shipyard technical boundaries and concentrate on sales.