Japan's three major shipping companies, Mitsui O.S.K. Lines, Kawasaki Kisen Kaisha, and Nippon Yusen Kabushiki Kaisha (NYK), plan to jointly invest in a ship design company established by shipbuilders Imabari Shipbuilding and Mitsubishi Heavy Industries for the development of next-generation vessels, Nihon Keizai Shimbun (Nikkei) reported on the 26th.

A view of a shipyard in Imabari City, Ehime Prefecture, Japan. Kyodo/Yonhap News Agency 

The company subject to the investment is MILES, established in 2013 by Imabari Shipbuilding and Mitsubishi Heavy Industries for the design of liquefied natural gas (LNG) carriers. Currently, MILES is developing next-generation vessels such as merchant ships powered by alternative fuels like methanol and ammonia, and liquefied carbon dioxide (CO2) carriers.

The three Japanese shipping companies are considering an investment by taking over a portion of Imabari Shipbuilding's 49% stake.

In response, Nikkei stated, "This marks the first time Japanese shipbuilders and shipping companies will become one in terms of capital to develop vessels," and interpreted it as an effort to "serve as a stepping stone for the revival of Japan's shipbuilding industry, which has fallen behind China and South Korea."

Notably, NYK plans to increase its LNG carrier fleet by approximately 40% to 130 vessels by 2028. Nikkei also reported that NYK is considering shifting its orders from Chinese and South Korean companies to Japanese shipbuilders, which it has used in the past.

The Japanese government is focusing its efforts on plans to revive the shipbuilding industry this year, setting a goal to increase shipbuilding volume by approximately double the current level by 2035.

Yonhap News Agency