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CSSC and Baosteel signed a contract on constructin

On March 16th, 2007, CSSC and Baosteel Group signed a joint investment contract in Beijing regarding the construction of two civil use shipbuilding production lines in Jiangnan Changxing shipbuilding base. CSSC owns 65% of the ownership, and Baosteel owns 35%. Total investment of the two production lines is over RMB10billion ($1.25billion in US). CSSC president Chen Xiaojin and Baosteel’s president Xu Lejiang signed on the contract.

Jiangnan Changxing shipbuilding base is located at the sea entrance of Yangtze River, and officially started constructing on June 3rd 2005. It is the largest shipbuilding base with the most advanced shipbuilding technologies in China at present. According to the plan, two docks will be built in each of the two production lines, eventually reaching 4.5million dwt annual production capability. The construction of the two docks in the first production line will be finished at the end of this year, and the other two in the second production line will be accomplished by the middle of 2008. Currently, the on-hold orders exceed 7million dwt in Jiangnan Changxing base, and shipbuilding mission has been fully scheduled up to year 2011.銆?


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