Wuchang Shipbuilding eyes bigger global biz

French agricultural giant Louis Dreyfus Armateurs order of a deck cargo ship from a Chinese shipbuilder may soon be delivered as it recently commenced mooring trials in China, marking the 17th ship order of this kind.

The 17 orders of 13,000-metric-ton deck cargo ships also helped Wuchang Shipbuilding Industry Group in Hubei province solidify its market share in Europe, aside from generating significant economic benefits.

The collaboration dates back to 2016. The French client had high demands regarding the ship's speed, fuel consumption, and other specifications, which posed a significant challenge for the Chinese design and construction teams.

"Our French client was very cautious, starting from a one-ship order. If the quality is good they may consider more," said Chen Yiyao, chief constructor of the latest ship order.

Wuchang Shipbuilding said constructing the first ship to perfection was crucial in securing potential orders and further expanding into the European market.

The company said that manufacturing the first ship was completely localized, achieving a 20 percent increase in maximum speed compared with its previous design and a 20 percent decrease in fuel consumption compared to its competitors.

The first ship was delivered in Nantong, Jiangsu province, and was later used for transporting coal between various islands in Indonesia.

Following the first order's delivery, Louis Dreyfus Armateurs placed an additional order for three ships of the same kind and another 13 in the following six years, bringing the total number to 17.

Chen said that with more orders coming in, the construction period has shortened, and the delivery speed has increased, leading to reduced costs in labor, equipment and land use.

Moreover, compared with previous orders, the latest one saw a decrease in fuel consumption and will be more cost-effective for use, Wuchang Shipbuilding said, adding that the improvement came about from scaled production.

Since its cooperation with Louis Dreyfus Armateurs began, Wuchang Shipbuilding has won increased recognition among overseas clients and further expanded its market share in Europe, the company said.

Last year, in March and October, a Greek shipping company placed two separate orders for multiple 18,500-ton medium-sized chemical tankers with Wuchang Shipbuilding, followed by an additional two batches of orders later this year.

Currently, Wuchang Shipbuilding holds numerous overseas orders, including container ships and chemical tankers for clients in Greece, wind-assisted roll-on/roll-off cargo ships for clients in France, and offshore construction vessels for European clients.