Yukito Higakki, president of Japan’s largest shipbuilder Imabari Shipbuilding and recently appointed head of the Japan Shipbuilding Industry Association (JSIA), has announced the goal of returning the country to at least 20% of the global shipbuilding market by 2030 — double the current level. This is a step toward restoring the position that Japan occupied in the 1990s, when it controlled almost half of the world’s orders.
Japan is currently significantly behind China and South Korea: Chinese shipyards provide up to 70% of the world’s shipbuilding capacity and about 90% of ship repair capacity. The country has faced stiff competition and a drop in orders — in May, they fell by 48% year-on-year to 884,000 tons. The main reason was large-scale subsidies and support for the industry in neighboring countries.
To overcome the crisis, Imabari Shipbuilding and JSIA, with the participation of the government, are promoting the idea of creating a new-generation national shipyard. The plan, already presented to Japan’s prime minister, calls for reviving defunct factories and attracting investment in upgrading infrastructure as a key element of national security.