Chen Qiang, CEO of Rongsheng Heavy Industry (RSHI) recently announces that RSHI will focus on development and construction of offshore plants, other high-end ship types and energy-saving green ships while keeping current advantages.
With European crisis easing, banks become active in shipping financing again, which promotes shipowners’ interests in newbuildings. Chen reveals than RSHI has got loans of about $1.59 billion from Bank of China to support its offshore development.
Chen thinks that the shipbuilding industry will continue the downturn in the first quarter but is likely to warm up in Q2 and Q3. He says that some owners are now investing in low-price new orders for future recovery. Meanwhile, the enquiries for offshore plants are on the rise with the oil prices continue to go upward.
Chen thinks that Chinese government’s programmed financial support for offshore industry specified in the 12th five-year plan will be released in next two years and offers an opportunity to enhance offshore plant level. Chen says its new delivered DPV in last month has got the owner’s and insiders’ acknowledgement and lays sound basis for further development.
According to the 12th five-year development plan for shipbuilding industry, China plans to become the leading giant of global shipbuilding by 2015. However, China has to overcome its disadvantages in industry concentration, R&D comprehensive level and ship financing support.
The plan stresses the importance of enhancing industrial concentration. According to the plan, the top 10 shipyards should boast over 70% of the industrial capacity nationally while currently the top 20 only occupy over 50%. Besides, the plan also encourages shipbuilders to shift focus to high-end products. 
Chen says that the plan will further strengthen Chinese shipbuilder’s level and market share in high-end newbuilding sector, especially in offshore plants and gas carriers sectors. The improvement of industrial concentration will upgrade the worker’s capability and the shipyards’ R&D level as well as its risk resistance capacity. Consequently, the financial support from banks will be more substantial.
Chen estimates that in the future the top 20 shipyards is likely to brace an bright outlook, the top 100 is able to survive in the market while the others may face bleak pictures.
In addition, Chen expresses his concerns over the current carbon emission tax on airlines. He says if the taxation expand to shipping sector, the scrapping of elder vessels would be on great rise and the demand for environment-friendly ships would see boom.