Korean Shipbuilders Fall Behind Chinese Rivals

[ice berg]

The Chosun Ilbo (English Edition): Daily News from Korea - Korean Shipbuilders Fall Behind Chinese Rivals

Korean shipbuilders were outperformed by their Chinese competitors in exports last year, 11 years after Korea in turn overtook Japan in 2001.

The Korean Chamber of Commerce and Industry on Wednesday said analysis of data from the Korea International Trade Association puts exports by Korean shipbuilders at US$37.8 billion in 2012, compared to China's $39.2 billion.

The change is due to the fact that Korea was more affected by the global downturn than China. Korean shipbuilders saw exports decrease around 30 percent on-year in 2012 while their Chinese and Japanese rivals posted drops of only 10.3 percent and 14.6 percent.

The shipbuilding industry has been one of Korea's mainstays. Since the mid-2000s, it enjoyed a boom and grew to post $54.1 billion in exports in 2011. But China has lately been putting up strong fight. Korea managed to edge slightly ahead of China in terms of global orders last year, when it accounted for 35 percent compared to China's 33.3 percent.

Industry insiders cite Chinese government support as the reason for the rapid growth of Chinese shipbuilders despite shortcomings in technology.

The KCCI in a report to the Ministry of Strategy and Finance called for support from the banking sector to overcome the current slowdown. It said such support is all the more necessary because of a shift in payment practices. Before, the total price was paid in five installments of 20 percent each time until delivery, but now only 40 percent of the total price is paid in four installments during manufacturing and the remaining 60 percent on delivery.

 

[Armand2REP]

It is hard to gauge China's numbers, but CCP has been actively trying to keep them up to reclaim #1. They forced COSCO to order billions in ships that they can't afford nor need. The company is on the verge of bankruptcy and they force them to buy more ships just so they can have bragging rights = stupid. CCP is doing this to most domestic carriers when demand is at an all time low = more bankrupt lines in future.

 

[Ray]

Both North and South Korea befuddles

Both are a tiny nations and with nearly no natural resources.

And yet South Korea is an industrial giant!

And North Korea with nothing to talk about is scaring the world with its nuclear power and rocketry!

 

[t_co]

It is hard to gauge China's numbers, but CCP has been actively trying to keep them up to reclaim #1. They forced COSCO to order billions in ships that they can't afford nor need. The company is on the verge of bankruptcy and they force them to buy more ships just so they can have bragging rights = stupid. CCP is doing this to most domestic carriers when demand is at an all time low = more bankrupt lines in future.

Your evidence?

 

[t_co]

Both North and South Korea befuddles

Both are a tiny nations and with nearly no natural resources.

And yet South Korea is an industrial giant!

And North Korea with nothing to talk about is scaring the world with its nuclear power and rocketry!

I sense an attempt to change the subject...

 

[Ray]

I sense an attempt to change the subject...

The issue is simple.

That South Korea could ever become a shipbuilding nation without resources is in itself a a surprising phenomenon.

Or a impoverished NK niggling away in the nuclear and rocketry field is extraordinary. notwithstanding their attitude to the world.

That China will overtake them given the vast resources, booming economy, first class infrastructure was just waiting to happen!

It has happened!

The OP is a mere statement of fact and statistics hardly leaving much for debate.

More in the line of an official pronouncement by a medieval Town Herald!

I might add, unlike China, a small nation does not have much leeway to make up oh the roundabouts what they lose on the swings.

 

[GromHellscream]

It is hard to gauge China's numbers, but CCP has been actively trying to keep them up to reclaim #1. They forced COSCO to order billions in ships that they can't afford nor need. The company is on the verge of bankruptcy and they force them to buy more ships just so they can have bragging rights = stupid. CCP is doing this to most domestic carriers when demand is at an all time low = more bankrupt lines in future.

Only exports were mentioned here. :crusin2:

 

[satish007]

It is hard to gauge China's numbers, but CCP has been actively trying to keep them up to reclaim #1. They forced COSCO to order billions in ships that they can't afford nor need. The company is on the verge of bankruptcy and they force them to buy more ships just so they can have bragging rights = stupid. CCP is doing this to most domestic carriers when demand is at an all time low = more bankrupt lines in future.

Armand2REP that's data is ship export. Chinese did a good job in 2012 and surpassed South Korea. we export ships to EU , America and all around the world.
efforts were achieved because our quality is ok and ships are so cheap, under current situation of economy, cheap win.
china shipbuilders sale to COSCO is not in the list. we are CCP, if we don't need we can change plan internal anytime.
we make a lot and we also lose a lot , you have a point.
these ccp companies neither fire people nor reduce the cost. COSCO share price fall to $0.8 from $10, almost garbage which make me almost bankrupt.
...........................................................
An analyst pointed out that due to earlier radical expansion for COSCO, the operation cost continued higher. The further expansion of capacity exacerbated imbalance between supply and demand. Therefore, China COSCO, the world's largest bulk vessels operator, posted a net loss for1q 2013. As widely expected, COSCO will get better till 2014 at the earliest.
..........................................................

 

[satish007]

Only exports were mentioned here. :crusin2:

I still have no idea about if COSCO books ship through Panama's branch.
may be the chini expert can share us.

 

[satish007]

It is hard to gauge China's numbers, but CCP has been actively trying to keep them up to reclaim #1. They forced COSCO to order billions in ships that they can't afford nor need. The company is on the verge of bankruptcy and they force them to buy more ships just so they can have bragging rights = stupid. CCP is doing this to most domestic carriers when demand is at an all time low = more bankrupt lines in future.

Chinese can not make LNG ship before 2004 and we came to France.
http://www.bp.com/genericarticle.do?categoryId=9004958&contentId=7009489
Chantier de'Atlantique, a long-standing LNG shipbuilder in France, which has been selected as the shipbuilding advisor.
thanks for France support, you guys are Communist International friends, you guys sharing selflessness.
but saddly Chantier owned by Korea now. a company able to build carrier sale to Korea. you guys was master, you should come to china if you have any problem instead sale to Korea. we are your students, we are not enemies, student get good performance ,the teacher should feel proud. how weird you are Armand4REP.

btw, we already get more than 20 LNG ship orders in 2013. thanks France, A toutes les glorires de la France

 

[badguy2000]

It is hard to gauge China's numbers, but CCP has been actively trying to keep them up to reclaim #1. They forced COSCO to order billions in ships that they can't afford nor need. The company is on the verge of bankruptcy and they force them to buy more ships just so they can have bragging rights = stupid. CCP is doing this to most domestic carriers when demand is at an all time low = more bankrupt lines in future.

not long ago, CHina surpassed USA and became the world largest car consumer....and you declared that all cars sold in CHina were bought by Chinese government tooo.

 

[Ray]

Statistically China is doing well in Shipping and Shipbuilding.

Any idea of the tonnage DWT of shipping around the world and the placement?