Shipbuilding firm enters logistics business

China State Shipbuilding Corporation, one of the country's largest shipbuilding conglomerates, has set up a fully owned logistics subsidiary in Shanghai, according to a statement posted on the company's website.

The new operation, CSSC Logistics Co, is an extension of its purchasing department, and has been set up with registered funds of 320 million yuan ($50 million) to focus on expanding business in sectors including steel, coal and iron ore, according to CSSC.

The new company is expected to achieve annual revenues of 70 billion yuan by the end of 2015, said Chairman Sun Wei, launching the new venture last week.