China will provide subsidies to help shipping companies retire ageing oil tankers and some single-hull ships before they would normally be taken out of service, a move that will affect 2,000 vessels in operation and help trim excess capacity throughout the industry.
Vessels of greater than 1,000 tonnes, as well as single-hull oil tankers of 600 tonnes or more, will be eligible to receive payouts of up to RMB1,500 (US$220.80) per tonne under the government's incentive plan, according to statements from the Ministry of Transportation, the National Development and Reform Commission, and the Ministry of Industry and Information Technology.
Under the incentive plan, replacement vessels must be manufactured by Chinese shipbuilders.
The incentive scheme will expire at the end of the first half of 2012.
Vessels of greater than 1,000 tonnes, as well as single-hull oil tankers of 600 tonnes or more, will be eligible to receive payouts of up to RMB1,500 (US$220.80) per tonne under the government's incentive plan, according to statements from the Ministry of Transportation, the National Development and Reform Commission, and the Ministry of Industry and Information Technology.
Under the incentive plan, replacement vessels must be manufactured by Chinese shipbuilders.
The incentive scheme will expire at the end of the first half of 2012.