AsiaClimate & SustainabilityMarine EngineeringMaritime TechnologySafety & SecurityShipyards & ShipbuildingWorldwide

How does Japan plan to rebuild its shipbuilding industry?

The Tokyo government, led by the Liberal Democratic Party (LDP) and backed by the new leadership of the Japan Shipbuilding Industry Association (JSIA), aims to double national shipbuilding output—by number and capacity—by 2030.

 

A key part of the plan is a USD 7 billion (€6 billion) investment package, reported by Splash Extra and The Maritime Executive. Funds will go toward modernizing shipyards, expanding automation and digital tools, and developing skilled labor. Robotics and AI-based systems are also on the agenda. These efforts are supported by the 2022 Economic Security Promotion Act, which backs strategic industries.

One new model sees the state financing shipyard infrastructure and leasing it to private firms. A national LNG shipyard is in planning, linked to a 20-year agreement for Japan’s JERA to buy up to 5.5 million tons of U.S. LNG annually from 2030.

Japan also seeks closer cooperation with the U.S. to build a maritime supply chain independent of China. Under Trump, Japan had already pitched its shipbuilding sector as a strategic asset to counter Chinese dominance. At the corporate level, consolidation continues. Tsuneishi Shipbuilding fully acquired its joint venture with Mitsui E&S and created Tsuneishi Solutions Tokyobay, focusing on alternative propulsion and gas-based ship tech. Mitsui E&S is exiting traditional shipbuilding to focus on engines and port systems. Tsuneishi will unify all shipyards under one brand.

Imabari Shipbuilding, Japan’s largest, recently completed its acquisition of Japan Marine United (JMU), aiming to gain scale in construction and procurement. The integration places Imabari fourth worldwide in shipyard order volume.

Once a global leader in the 1990s, Japan now holds only 10% of the shipbuilding market—well behind China (70%) and South Korea. Aggressive state support in those countries, along with Japan’s labor shortages and slow reforms, have weakened Japan’s position. Without new orders, shipyard capacity may decline.

Despite the challenges, Japan is making a strategic push to reclaim a key role in the global shipbuilding industry.

 

Read the full article

 

This article is shared by courtesy of Hansa News Global https://hansa.news/

Hansa.News are dedicated to providing insightful news, analyses, and insights across a wide range of maritime topics, catering to professionals, enthusiasts, and stakeholders alike.

Back to top button