Visitors take photos of the model of a container freighter made by Jiangnan Shipyard (Group) Co Ltd at an exhibition in Shanghai. The shipyard will soon join the bidding for construction of the country's second polar research ship. [Photo provided to China Daily]

Jiangnan Shipyard will be one of the several Chinese shipbuilders joining the bidding process. The Shanghai-based company is a historic shipyard, dating back to the late 19th century. As China's industrial working class was nurtured in Jiangnan, the shipyard has been regarded as the cradle of the country's national shipbuilding industry. It now builds, repairs and converts both civilian and military vessels.

"The competition process will be fierce, especially at a time when the whole shipbuilding industry is suffering from falling demand," Hu said.

Shipbuilding is one of the sectors suffering from overcapacity. More than 30 major large-scale shipyards went bankrupt over the past two years, according to the China Association of the National Shipbuilding Industry.