Mitsubishi Shipbuilding plans a ¥100bn ($634m) capacity expansion at a new site in Shimonoseki, Japan, with up to ¥40bn ($254m) expected to be covered by government subsidies, according to a company statement.
Parent Mitsubishi Heavy Industries has signed a contract with Shimonoseki City to acquire an industrial development site on the artificial island of Choshu Dejima in Yamaguchi prefecture for the project.
Mitsubishi Shipbuilding will transfer some functions from the Enoura Plant at MHI’s Shimonoseki Shipyard & Machinery Works to the site and build a new hull block manufacturing facility.
The project is intended to strengthen production capacity and establish a stable shipbuilding framework over the medium to long term as global seaborne transport demand and economic security considerations increase the importance of shipbuilding capacity.
Japan has designated hulls as specified critical products under the Economic Security Promotion Act. On 11 September, Mitsubishi Shipbuilding received approval from the Ministry of Land, Infrastructure, Transport and Tourism for its plan to ensure the supply of specified critical products.
The project has been recognised as contributing to the maintenance and strengthening of Japan’s shipbuilding infrastructure and the stable supply of ships.
MHI and Mitsubishi Shipbuilding plan further measures to expand shipbuilding capacity.
Mitsubishi Heavy Industries Ltd is a Tokyo-headquartered Japanese industrial company with businesses spanning energy systems, plants and infrastructure, industrial solutions, aircraft, defence and space.
Mitsubishi Shipbuilding Co Ltd was established in 2018 and is wholly owned by MHI. Its operations include ship engineering, construction and repair of ferries, cargo and passenger ships, roll-on/roll-off ships, special-purpose vessels and patrol vessels.