Recently many Chinese private shipyards in Wenling, Zhejiang appear to have a problem in securing financing, according to People's Daily of China, 
With regard of reasons why private yards have difficulties in getting financing, banks are tightening ship finance segment and shipyards rather prefer stable management than scraping the money for development.
The daily paper pointed out that banks are actively involved in corporate finance during a boom period, which causes many companies to face a crisis and bankruptcy, if it is worse, when the market turns downward.
The People's Daily stated banks should keep supporting small-and-medium private yards to be able to overcome crisis and manage sustainable development, as well as the Chinese government should provide governmental support for them.
Particularly, private shipbuilders, above all, need continued investment for technical improvement, which would be impossible without financial support from banks.