The seven largest shipbuilders in Japan have earmarked more than $1 billion (U.S.) for investment in plant and equipment this year, 18.3 percent higher than the investment total a year ago. The higher investment is taken as a sign that Japanese shipbuilders are recovering from the recession, according to Tokyo-based Kaiji Press.
The seven major shipbuilders are Mitsubishi Heavy Industries, Ishikawajima-Harima Heavy Industries, Mitsui Engineering and Shipbuilding, Hitachi Shipbuilding and Engineering, Sumitomo Heavy Industries, Kawasaki Heavy Industries, and Nippon Kokan Kaisha. Mitsubishi alone is spending almost $200 million on its Yokohama Shipyard.
Another shipbuilder, Mitsui, has a $30-million project to build a factory in Oita, Kyushu, and Hitachi has a $21-million project to modernize ship repair facilities at Kanagawa Shipyard. Investment is also taking place in research facilities.
According to Lloyd's Register of Shipping, Japan leads the world shipbuilding nations. At the end of June, there was 5.6 million tons gross under construction in Japan, 776,000 tons more than at the same time last year. Another 9 million tons was ordered but not yet under construction—600,000 tons more than last year. In all, the orderbook of 14.6 million tons was 1.3 million tons more than at the end of June 1980.
The completion figure for Japanese yards in the first six months of this year was the largest since 1978. And the trend continues upward. Over 70 percent of the Japanese production is for export.