Fincantieri to Set Up Cruise Hub in China

Italian shipbuilder Fincantieri has signed contracts with the Shanghai City’s District of Baoshan to set up a cruise hub dedicated to support the shipbuilding and maritime activities in the cruise sector.

The hub builds upon the agreements between Fincantieri, CSSC and Carnival Corporation & plc announced in February 2017 for the construction of two cruise ships, the first ever made in China for the local market.

The deal for the first two ships is worth around USD 1.5 billion. The ships are planned to be built for the Chinese market at the Shanghai Waigaoqiao Shipbuilding (SWS) yard, a facility of CSSC Group. The first delivery is expected in 2023.

Fincantieri said that the hub will act as a fundamental industrial basin to supply this production. As disclosed, 70% of the total value of a modern cruise ship is realized through the supply.

Under the deal, the district will provide financing, tax commercial and administrative benefits, land for necessary development and other resources, in hope of attracting foreign investors and suppliers to the district.

“Fincantieri has given a broad support to the district in defining the preferential policies to attract suppliers and will promote the park in its network and in the industry as a whole, as a foundation for the companies which want to access to the opportunities of this project. In this way, the group will become a lever for the establishment in China of its supply chain or of other SMBs, which would greatly benefit from this operation,” the shipbuilder commented.

This project is part of the initiatives undertaken by Fincantieri in China aimed at developing the local cruise market, which in the coming days could reach new goals.