Shipbuilding: Capacity ramps up as China extends its dominance
- China boosting capacity by resurrecting dormant and extending existing shipyards
- South Korea also expanding facilities to meet new tonnage demand
With most top tier shipyards having a four year or more backlog of work, further capacity is being introduced to meet demand for new ships to replace the ageing fleet. However, the sector is suffering a labour shortage due to a lack of young people joining the industry. Furthermore, an increase in shipbuilding contract disputes could arise from more newbuildings being ordered from inexperienced, resurrected shipyards
