3 Japan Shipping Firms to Invest in Ship Design Firm

Tokyo, Dec. 1 (Jiji Press)–Japan’s three major shipping firms said Monday they will invest in Miles Co., a ship design company jointly owned by Mitsubishi Heavy Industries Ltd. and Imabari Shipbuilding Co. The three shipping firms are Nippon Yusen K.K., Mitsui O.S.K. Lines Ltd. and Kawasaki Kisen Kaisha Ltd. They aim to strengthen Japan’s international competitiveness by collaborating on the development of liquefied carbon dioxide carriers and next-generation alternative fuel ships using decarbonization technologies, including ammonium fuel, amid pressure on the domestic shipbuilding sector from China and South Korea. Japanese shipbuilders Japan Marine United Corp. and Nihon Shipyard Co. will also invest in Miles, which was founded in 2013. Currently, Mitsubishi Heavy holds a 51 pct stake in Miles, while the rest is held by Imabari Shipbuilding. Imabari Shipbuilding plans to sell part of its stake in Miles to the five companies by the end of this year at the earliest. Last year, the seven companies started a joint study to standardize the specifications of liquefied CO2 carriers, planning to accelerate their cooperation. The Japanese government has pledged to realize public and private investment worth around 1 trillion yen in the shipbuilding industry as part of its comprehensive economic measures. END [Copyright The Jiji Press, Ltd.]