jiangsu rongsheng shipyard free sample

You can use this royalty-free editorial photo "Ship is being built at a shipyard of Rongsheng Heavy Industries in Nantong city, east China"s Jiangsu province, 12 October 2012" for personal and non-commercial purposes according to the Standard License. This stock image may be used to illustrate stories in newspaper and magazine articles and blog posts. Please note that editorial stock photos may not be used in advertising or promotional material.

HONG KONG (Reuters) - Shares in China Rongsheng Heavy Industries Group Holdings Ltdtumbled 18 percent on Monday after the U.S. securities regulator accused a company controlled by the shipbuilder"s chairman of insider trading ahead of China"s CNOOC Ltd"sbid for Canadian oil company Nexen Inc.Labourers work at a Rongsheng Heavy Industries shipyard in Nantong, Jiangsu province May 21, 2012. REUTERS/Aly Song

The U.S. Securities and Exchange Commission filed a complaint in a U.S. court on Friday against a company controlled by Rongsheng Chairman Zhang Zhirong, and other traders, accusing them of making more than $13 million from insider trading ahead of CNOOC’s $15.1 billion bid for Nexen.

On Monday, Rongsheng shares dropped as much as 18 percent to HK$1.15, a record low, leaving the company with a market capitalization of just over $1 billion. The company also issued a profit warning, saying first-half earnings would fall sharply as a result of a global shipbuilding downturn, a factor that has already pushed its shares down more than 75 percent in the past year.

Rongsheng - which entered a strategic cooperation agreement with CNOOC in 2010 - said in a Hong Kong filing that it did not expect the U.S. investigation to affect its operations. It said Zhang did not have an executive role in the company.

“The news around the chairman comes on the back of other operational and credibility issues,” Barclays said in a note to clients. “We think China Rongsheng presents significant company-specific risk.”

Zhang was ranked the 22th richest Chinese person by Forbes Magazine in September 2011. But his net worth fell by more than half in the past year to $2.6 billion in March 2012 as shares of Rongsheng tumbled.

The shipyard, located in the Yangtze River Delta, was founded in 2006, and became the largest private shipbuilder in China, churning out giant valemaxes at its four large dry-docks, before a massive financial collapse forced it to cease operations in 2014.

Broking sources in China tell Splash that the yard’s former chief operating officer David Luan is now preparing to officially reopen the yard, to be known as SPS Shipyard, a reference to ShipParts.com, a business he created in 2015 after quitting Rongsheng.

SPS Shipyard will start to market cape and kamsarmax slots from next week with next available slots being from Q3 2025 onwards. Luan has yet to reply to questions sent by Splash earlier today.

(Beijing) – Piles of rusty steel bars and old ship parts are virtually all that"s left of a sprawling shipyard in the eastern city of Rugao, where Jiangsu Rongsheng Heavy Industries Group Co. used to employ more than 30,000 people.

Once China"s largest shipbuilder, Rongsheng is on the verge of bankruptcy. Orders have dried up and banks are refusing credit. Questions have been raised about the shipyard"s business practices, including allegations of padded order books. And Rongsheng is apparently behind on repaying some of the 20.4 billion yuan in combined debt owed to 14 banks, three trusts and three leasing firms, sources told Caixin.

Since Beijing appears intent on telling investors it is serious about changing the investment-led growth model of the world’s second-biggest economy and controlling a credit splurge, it may seem like the writing is on the wall for China Rongsheng Heavy Industries Group.

Yet analysts say the government is more likely than not to judge that Rongsheng, which employs around 20,000 workers and has received state patronage, is too big and well connected to fail.

Supporting Rongsheng will not mean China’s economic reform plans are derailed, they say. Instead, it will mean reforms will be gradual and the government will cherry-pick firms it wants to support, which will exclude the small, private shipbuilders that have been folding in waves.

“Rongsheng is a flagship in the industry,” said Lawrence Li, an analyst with UOB Kay Hian in Shanghai. “The government will definitely provide assistance if companies like this are in trouble.”

Analysts say Rongsheng is possibly the largest casualty of a sector that has grown over the past decade into the world’s biggest shipbuilding industry by construction capacity. Amid a global shipping downturn, new orders for Chinese builders fell by half last year. In Rongsheng’s case, it won orders worth $55.6 million last year, compared with a target of $1.8 billion.

Rongsheng appealed for government aid on Friday, saying it was cutting its workforce and delaying payments to suppliers to deal with tightened cash flow.

In the prospectus for its initial public offer, Rongsheng said it received 520 million yuan of subsidies from the Rugao city government in the southern province of Jiangsu, where the company is based.

The state funds paid for research and development of new types of vessels, and were based in part on the “essential role we play in the local economy”, Rongsheng said.

Suntech Power Holdings, a solar panel maker also based in Jiangsu, is waiting to be bailed out by the government after it was crushed by falling demand and a supply glut, a source with knowledge of the matter said in March. The government wants to find a way to rescue Suntech to avoid an embarrassing collapse that damages its reputation, the source said.

As the world’s largest shipbuilder, it had 1,647 shipyards in 2012, data from China Association of the National Shipbuilding Industry showed. Over 60 percent of its shipbuilders are based in Rongsheng’s province of Jiangsu.

Despite this, the government is providing support for the industry, a sign it will also support Rongsheng given its prominence in the sector, analysts said.

Analysts say what separates Rongsheng from many other companies are its connections with the government and state banks. Rongsheng’s Chief Executive Chen Qiang, for example, enjoys “special government allowances” granted by China’s cabinet, the firm’s annual reports say.

Rongsheng also said in its IPO prospectus that it has two five-year financing deals with Export-Import Bank of China that end in 2014 and in 2015, and a 10-year agreement with Bank of China starting from 2009.

After all, local government coffers will suffer the biggest blow if Rongsheng goes bust. The firm had 168 million yuan of deferred income taxes in 2012.

“Do people expect one of the largest shipyards in the world is going to stop building ships completely with state-of-the-art, brand new facilities?” said Martin Rowe, managing director of global shipping services provider Clarkson Asia Ltd. “I think it’s highly unlikely.” (Reporting by Yimou Lee in HONG KONG and Koh Gui Qing in BEIJING; Editing by Neil Fullick)

The world coal and iron ore trade demand depends very much on the biggest purchaser China. Coal import increased to 100 million tons in 2009 and tends to rise upwards until 2020. In 2009, iron ore import demand to China reached 2/3 of the world’s iron ore trade. The second biggest purchaser in the world is India that is looking for new suppliers in Russia and Latin America seeking to fill increased needs. Despite the fact that bulker market shows recovery signals since the end of 2009 the nearest future of shipbuilders focused on bulker carriers is not yet safe. During the first four months of 2010, it contracted 185 new bulk carriers (15 million dwt). Though prices of new building incentives have fallen by 30% the order book for 2010-2014 is overfilled: 3286 new bulkers (43.6% of existing bulker fleet) totalling 287.1 million dwt (59.7%)(CESA AR, 2010). This means that shipyards of China, S. Korea, Japan and new players focused on production of bulkers should turn to the building of other ship types. Consequently, the competition among high added value shipbuilders should be more intense.

Such a danger as “tenth wave” is poising now over the global shipbuilding industry. What shipyards of what countries will survive it? It might be that some countries will decide to reduce shipbuilding capacity or even close it before their shipyards collapse.

Productivity is influenced by technology, facilities, management competence, work organization, work practice, the level of workers’ skills and motivation. The level of the shipyard’s technology is one of the most important factors influencing the cost competitiveness, especially for the large enterprise.

Technology benchmark provided by T. Lamb shows very interesting results forcing to think what is more valuable for the shipyards competing in the market. It compares typical production elements such as steelwork and outfitting production, other pre-erection, ship construction, layout & environment, design & drafting, and organisation/operating of the main shipbuilding countries/regions. The highest overall level has Japan (4.43), the second – S. Korea (4.00), then Europe (3.4), and the lowest is of China (2.88) (Lamb, 2007). Is China a winner just because of low labour price? Or is Chinese labour cost lower because of small investment? Another reason impacting (more specifically – distorting) the competitiveness of shipyards is State support that goes to increasing of the national shipbuilding capacity. For example, over the past decade Korea almost quadrupled its production capacities while Japan and Europe kept stable production volumes. Since 1998 to 2009, S. Korean shipbuilding capacity grew by 10.8 million CGT and Chinese - by 7.9 million CGT (ECORYS SCS, 2009). China and S. Korea continues to follow a highly aggressive expansion path. Under Chinese "Shipbuilding industry adjustment promotion plan" the government has defined provision of operating funds to shipyards and expansion of financial support to owners who order export ships. Not only these countries but also new players such as Brazil, Turkey, India, etc provide huge amounts of support and financial assistance to their domestic producers by using various forms of subsidies including investment aid, loans and payment guarantees to shipbuilders, suppliers, governmental bailouts, subsidies on ship prices for domestic ocean going ships’ buyers, mandatory requirements to order ships at domestic yards and subsidized loans for domestically built ships, direct loans and debt guarantees to ship-owners, etc.

In such conditions, keeping a competitive edge of European shipyards becomes more and more complicate. Despite of the reduced order book Europe chooses quality and excellence over the low costs as the main strategic point of further development of the shipbuilding industry.

A shipyard official confirmed to LNG Unlimited that the yard, to date China’s only LNG shipbuilder, has netted a contract to build four 174,000-cbm dual-fuel diesel-electric vessels. It is also holding options for a further two ships.

All cities----------------------------------------AalborgAalesundAalsmeerAalstAbbeville, LAAberdeenAbidjanAbu DhabiAcharnesAdanaAdriaAichiAioiAjmanAkranesAksayAkureyriAl-SalmiyaAlameda, CaliforniaAlbany, NYAlblasserdamAlexandriaAlgecirasAlgiersAlmadaAltinova, YalovaAmelia, LAAmpelakiaAmsterdamAnacortes, WAAnconaAngleseyAnqingAntalyaAntsirananaAntwerpAppledoreAqabaAracruz-ESAransas Pass, TXAricaArklowAshby-de-la-ZouchAshmore City QldAssensAstoria, ORAstrakhanAthensAttikaAucklandAugustaAukraAustrheimAveiroAviglianaAvilesAzovBakuBalakovoBalambanBalboaBalearesBALTIMORE, MARYLANDBaltiyskBalzersBandar AbbasBangkokBanjarmasinBanjulBantenBarthBatamBatangasBath, MEBayonneBayou La Batre, ALBeijingBelfastBelle Chasse, LABelleville, ONBellingham, WABengbuBergenBergumBerlinBerneBhavnagarBibra LakeBijelaBIRKENHEAD, MERSEYSIDEBlagoveshenskBloomington, MNBlythBodenwerderBodoBodrumBolshoy KamenBorBordeauxBoston, MABoulogneBourg, LABourgasBrailaBrattvagBredaBremenBremerhavenBrestBrevikBrightonBrindisiBrisbaneBrixhamBromboroughBrownsville, PABrownsville, TXBudapestBuenos AiresBurelaBurpengaryBusanCadizCairnsCalderaCallaoCalvert City, KYCambridge, MDCANAKKALECape TownCardiffCartagenaCartagenaCasablancaCastropolCebuCentralCesenaticoCeutaChalandriChangdeChangshaChangzhouChannelview, TXCharleston, ORCharleston, WVChattanooga, TNChelmsfordChelseaChennaiCherbourgeChesapeake, VAChimboteChinhaeChistopolChittagongChonburiChongqingChula Vista, CAChvaleticeCirebonCirencesterClairton, PAClarkston, WACoalvilleCobhCochinCoden, ALColmslieCologneColomboColonConcarneauConchaliConstantaConvent, LACoos Bay, ORCopenhagenCoral Springs, FLCornwallCorpus Christi, TXCoueronCovington, LACrossville, TNCuxhavenDakarDalianDallas, TXDammamDania, FLDarlowoDartmouth, NSDarwin, NTDecinDeestDelftDelfzijlDen HelderDen OeverDerbenDhakaDnipropetrovskDockstaDohaDolgoprudniyDongguanDordrechtDorsetDoualaDrachtenDrammenDrobeta Turnu SeverinDrutenDubaiDublinDuisburgDunedinDunkirkDunnvilleDurbanDziwnowEast Boothbay, MEEast LondonEastleighEcorse, MIEdeEdgewaterEidsnesEisenhuttenstadtEl Astillero-SantanderEL HOWAMDIAElblagElefsinaElefsisElizabeth, NJEllosElsflethEmdenEnglewood Cliffs, NJENSENADA, B.C.EregliErie, PAErlenbach/MainEsbjergEscanaba, MIEssexEverett, WAEviaEyemouthFaaborgFagerfjallFairhaven, MAFalkenbergFalmouthFamagustaFarehamFedaFeodosiiaFerrolFiskarstrandaFitjarFleetwoodFlekkefjordFlensburgFloridaFloroFort de FranceFORT LAUDERDALEFortalezaFoshanFosnavagFoxholFranekerFranklin, LAFraserburghFrederikshavnFreeland, WAFREEPORT, GRAND BAHAMAFreeport, TXFremantleFujairahFukuokaFukuyamaFuzhouGalatiGalveston, TXGandhidhamGaspeGdanskGdyniaGelaGendtGeneral Santos CityGenoaGeorgetownGeorgetown, PEGeraldtonGhentGibraltarGiebelstadtGillmanGiurgiuGladstoneGlasgowGlostrupGlovertownGlyfadaGoaGoesGolcukGold CoastGolden Meadow, LAGorinchemGorodecGorzow WielkopolskiGothenburgGrand Isle, LAGrangemouthGravesendGraysGreat YarmouthGreen Bay, WIGreenockGreenville, MSGresikGrimsbyGrimstadGroningenGroton, CTGrytGuangzhouGuarujaGuayaquilGuaymasGujarat StateGulfport, MSGunsanGurskenGwangyangGyeongnamGYEONGSANGNAM-DOGziraHa Long CityHaarlemHabaraduwaHachinoheHAI PHONGHaifa BayHakodateHalifax, NSHamburgHamburg, New JerseyHangzhouHanoiHanstholmHansweertHarbinHardbakkeHardinxveld-GiessendamHarlingenHartford, ILHarvey, LAHarwoodHasseltHaugesundHAUGLANDSHELLAHavanaHavelbergHebburnHEBRON, KYHelsingborgHelsinkiHendersonHENDRIK IDO AMBACHTHermoupolisHertogenboschHeusdenHiddHiroshimaHirtshalsHO CHI MINHHobartHollywood, SCHomelHomosassa, FLHong KongHonoluluHoogezandHoquiamHortenHoumaHouston, TXHovikHowrahHoylandsbygdHuelvaHuludaoHuntingdon ValleyHusumHvide SandeHvidovreHyenIchiharaIJmuidenIlyichevskImabari-CityInchonInnoshimaIquiqueIquitosIsafjorourIshinomakiISLE AUX COUDRESIsmailiaIstanbulItajai, s.c.IzmailIzmirIzmitIzolaJacksonville, FLJakartaJeddahJefferson, LAJeffersonville, INJenjaromJennings, LAJeollanamdoJiangjiagangJiangmenJiangsuJiangyinJiaxingJieyangJingjiangJiningJiujiangJohor BahruJuriJurongKaagKakinadaKalama, WAKaliningradKampenKangwon-doKaohsiungKapolei, HIKappelnKarachiKarimunKEDZIERZYN KOZLEKeelungKemamanKentKeralaKerchKesennumaKetchikanKetteringKhabarovskKhersonKhimkiKhulnaKielKievKinderdijkKingston upon HullKingston Upon ThamesKingston, OntarioKirkenesKlaipedaKobeKochiKoleczkowoKolkataKolobrzegKolvereidKomarnoKOMSOMOLSK ON AMURKorculaK�rfezKostromaKowloonKrasnojarskKrimpen aan de LekKRIMPEN aan den IJSSELKristiansundKuala LumpurKuala TerengganuKuchingKudamatsuKumamotoKurashikiKureKutchKwun Tong KowloonKyotoLa CiotatLa CorunaLa CrosseLA SERENALa SpeziaLabuanLafitte, LALagosLake Charles, LALamar, INLandskronaLangkawi KedahLarose, LALarsnesLAS PALMAS DE G.C.LauenburgLauncestonLavagnaLe HavreLeerLeirvik in SognLemmerLemwerderLerwickLes Mechins, QCLES SABLES d`OLONNELevis, QCLianyungangLidingoLiepajaLimassolLinzLisbonLiuzhouLiverpool, NSLivornoLjubljanaLockport, LALocmiquelicLofallstrandLoksaLondonLoreauville, LALorientLos BarriosLoutulimLoviisaLuandaLuebeckLummenLumutLunenburgLysakerLysekilLytteltonMaassluisMacduffMadison, INMadridMakassarMakatiMakkumMalaboMalagaMali LosinjMamaroneck, NYManamaManaus, AMMandalMangaliaManitowoc, WIMargaoMarina di CarraraMarina di RavennaMarinette, WIMariupolMarsaMarseilleMarstalMarystown, NLMataneMatawan, NJMaunMazara del ValloMazatlanMedanMelbourneMenzel BourguibaMeppelMerritt, NCMersinMesaieedMessinaMeteghan River, NSMiami, FLMiddlesbroughMierzynMilford HavenMillingen Aan de RijnMilton KeynesMiriMjosundetMoanaMobile, ALMokpoMombasaMonacoMongkokMonnickendamMonte CarloMontevideoMonticello, ARMontreal, QCMontroseMoormerlandMorgan City, LAMormugao PortMoscowMt Vernon, INMt Vernon, WAMumbaiMunkeboMurmanskMuruetaMykolaivMyreN CharlestonNaantaliNAARDENNaberezhnie ChelnyNagasakiNakhodkaNamurNanaimoNanjingNantongNaplesNarayanganjNarimanovNasva HarbourNational City, CANavashinoNavi MumbaiNaviaNavotasNea KifissiaNeckarsteinachNelsonNesnaNeuilly Sur SeineNew Bern, NCNew Haven, CTNew Iberia, LANew London, CTNew MaldenNew Orleans, LANew York, NYNewarkNewcastleNewport BeachNewport News, VANewport, RINha TrangNiederkasselNieuwpoortNiigataNijkerkNikolaevNingboNingdeNinh HoaNiteroi, RJNizhniy NovgorodNorfolk, VANORRESUNDBYNorth Kingstown, RINorth PointNorth Vancouver, BCNorwalk, CTNovorossiyskNovosibirskNowa SolOborniki WielkopolskieOckeroOdessaOkayamaOkuniewOldenburgOlensvaagOlsztynOltenitaOmastrandOnomichiOntario, ONOostendeOrange, TXOranienburgOrduOregrundOrlando, FLOrsovaOsakaOskarshamnOsloOsmoOssOstrodaOtradnoeOudeschildOwensboro, KYOxelosundPaducah, KYPalangaPalatka, FLPalembangPalermoPalma de MallorcaPalmetto, FLPanamaPanama City, FLPandrupPanjimPanjinPaolaPapeetePapenburgPapendrechtParamariboParisParry SoundPasaiaPascagoula, MSPeenemundePellestrinaPembrokePenangPenglaiPenichePensacolaPenzancePeramaPermPeronnes-lez-AntoingPerthPesaroPetalumaPeterheadPetersburg, AKPetrozavodskPhiladelphia, PAPiaskowiecPictouPiraeusPisaPlockPlymouthPohangPolicePompano Beach, FLPonta DelgadaPontevedraPontianakPoortugaalPort AlberniPort Angeles, WAPort Arthur, TXPORT COLBORNE, ONPort ElizabethPort FouadPort GlasgowPORT HARCOURTPort KlangPort LouisPort MoresbyPort NechesPort of SpainPort SaidPort SudanPortlandPortland, ORPortsmouthPortsmouth, VAPoznanPrimorsko-AkhtarskPskovPuerto CabelloPuerto DeseadoPuerto RealPulaPunatPunta ArenasQingdaoQinhuangdaoQuanzhouQuarry BayQuebecQUICKBORNQuilpueQuimperRainier, ORRamsgateRandburgRas Al KhaymahRatnagiriRaudebergRaumaRavennaRayongRechlinReedsport, ORRemagenRendsburgReykjavikRichards BayRidderkerkRigaRijekaRio de JaneiroRissaRisskovRognanRomeRosarioRosedale, MSRostockRostov on DonRosythRotsundRotterdamRousseRubbestadnesetRui ChangRumiaRuncornRuwiRybinskSabangSabine Pass, TXSaebovagenSafatSagvagSaijo CitySaikaiSaint-Andre-des-EauxSakaideSalisbury, MDSalvadorSamutprakarnSan Diego, CASan FernandoSan FranciscoSan Giovanni in MarignanoSan Jose del CaboSandakan SabahSandefjordSandnesSanta Cruz de TenerifeSantiago de ChileSantiago de CubaSanto DomingoSantosSanturce (Bilbao)SarzanaSas van GentSaseboSchiedamSchoonoordSeattle, WASeixalSELANGOR DARUL EHSANSEMARANGSeoulSergipeSESTAOSetubalSevastopolSeverodvinskSevilleSewardSfaxShanghaiSharjahSharpnessShelburneShenzhenSheung WanShimonosekiShiogamaShizuokaShliesselburgSibuSimrishamnSinaloaSingaporeSitiawanSitkaSkagenSkaramangaSkudeneshavnSlavyankaSliedrechtSnezhnogorskSoby AeroSomerset, MASooke, BCSopotSorongSouth CarolinaSouth Point, OHSouthallSouthamptonSovikSpearwood, WASpeyerSpijkenisseSplitST. JOHN`S, NLST. NAZAIREST. PETERSBURGSt. VicenteStabroekStaten Island, NYStathelleStavangerStellendamStockholmStockportStordStorringtonStraszynStroobosSturgeon Bay, WISubic, ZambalesSuezSunderlandSuperior, WISurabayaSuratSutton ColdfieldSuvaSuzhouSvetlySvolvaerSwadlincoteSwinoujscieSydneySzczecinTacoma, WATaipeiTaizhou(Jiangsu)Taizhou(Zhejiang)TakamatsuTakoradiTakumaTalcahuanoTallinnTampa, FLTampicoTAN HYTanangerTANGERMUNDETanjung Balai KarimunTarpon Springs, FLTeboulbaTegalTehranTeijoTeluk Panglima GarangTemaTerengganuTerminal IslandTerneuzenTexas, TXTheodore, ALThunderbolt, GATianjinTINGALPATinh Long AnTokyoToledo, OHTolkamerTolyattiTomagoTomrefjordTongyeongToowong, QldTorshavnToulonToyotaTrapaniTrierTriesteTrogirTrondheimTsing YiTsu, MieTuapseTuckahoe, NJTulagiTulceaTurkuTuzlaTverTyumenUddevallaUdupiUlsanUlsteinvikUlyanovskUrkUskedalenUstkaUusikaupunkiVaaglandVallejo, CAValparaisoVancouver, BCVancouver, WAVarnaVASCO DA GAMA, GOAVastra FrolundaVaxholmVejleVela LukaVelikiy UstyugVeniceVentnorVentspilsVENTURAVeracruzVeracruzVestnesViana do CasteloVICTORIAVictoria, BCVigoVila Real de Santo AntonioVina Del MarVisakhapatnamVladivostockVlissingenVolendamVolgo-KaspiyskiyVolgogradVologdaVoulaVung Tau CityVyborgWakayamaWalvis BayWanchaiWarren, RIWaterhuizenWayne, NJWEBSTER, NYWeihaiWendengWenzhouWerkendamWEST PALM BEACHWesterbroekWestport WAWewelsflethWhangareiWheatley, ONWieringerwerfWilhelmshavenWillemstadWilmington, CAWinchester Bay, ORWinterthurWismarWladyslawowoWolgastWorcestershireWroclawWuchiWuhanWuhuWuxiWuxueXiamenXiangtanXUAN ANYalovaYangonYangzhouYantaiYaroslavlYatalaYekaterinburgYeongam-GunYeosu CityYichangYiyangYokohamaYuen LongYueqingZaandamZagrebZaporozhyeZeebruggeZelenodolskZelzateZhangzhouZhenjiangZhongshanZhoushanZhuhaiZoeterwoude-RijndijkZonguldakZrenjaninZumaiaZvenigovoZwartsluisZwijndrecht