Qidong’s Marine Engineering and Shipbuilding Industry Sees Double-Digit Growth for Three Consecutive Years — Riding the Waves of the Deep Blue

As spring arrives, the coastal areas where rivers flow into the sea are becoming increasingly vibrant. Qidong's marine engineering and shipbuilding sector has maintained impressive growth since the start of the year, supported by strong market demand and expanding production capacity.

CIMC Pacific has completed the delivery of a 40,000-cubic-meter LPG and liquid ammonia carrier, while Qidong Zhenhua Offshore Engineering successfully launched the Xinhaijing 1, a trailing suction hopper dredger equipped with a 25,000-cubic-meter hopper. Meanwhile, leading manufacturers such as Huazi Energy and Rounbon Marine are operating with substantial order backlogs and maintaining continuous production and delivery schedules, with some orders extending into 2029.

The latest figures further demonstrate the industry's growth momentum. During January and February, 115 marine engineering and shipbuilding supply chain companies in Qidong recorded taxable sales of 9.475 billion yuan, representing a 26% increase compared with the same period last year.

Reshaping the Industrial Structure: Revitalizing Resources and Advancing Toward High-End Manufacturing

On April 8, construction was progressing at full speed on a 16,000-ton subsea cable-laying vessel inside the workshop of Qidong Xiangyu Marine Equipment Co., Ltd. According to Wang Gang, Assistant General Manager of Nantong Xiangyu Marine Equipment Co., Ltd., the company's vessel Fanzhou 7, delivered on January 6, became the first ship built by Xiangyu in Qidong to depart from Lüsi Port. The company expects to complete the delivery of six vessels throughout the year.

The industrial site currently operated by Xiangyu Marine Equipment was previously the Hongqiang Heavy Industry base. It possessed considerable industrial advantages, including three slipways designed for vessels ranging from 50,000 to 100,000 tons and 682.3 meters of shoreline along the Yangtze River. Nevertheless, unresolved historical issues had prevented these valuable facilities from being fully utilized, leaving the site largely inactive.

Recognizing the potential of this approximately 700-mu industrial property, the Qidong Marine Engineering Industrial Park in Yinyang Town organized a dedicated working group headed by senior officials. Through coordinated efforts, the authorities addressed complicated historical ownership problems and cleared the way for the site's redevelopment.

In August 2024, Qidong Xiangyu Marine Equipment successfully acquired the core assets through a bidding process and immediately began renovation work. Full-scale construction resumed in October, followed by the official commencement of production on August 1 of the following year. The company has since accumulated orders for 26 vessels, demonstrating how previously underutilized industrial resources can be transformed into productive manufacturing capacity.

Marine engineering and shipbuilding has long been one of Qidong's most important competitive industries. Over the years, the sector has evolved from an initial group of slightly more than 20 companies into a well-established industrial cluster. Its development is now supported by major central state-owned enterprises alongside influential private manufacturers, signaling a transition from pursuing production scale to emphasizing industrial quality and technological strength.

The establishment of the Marine Engineering and Shipbuilding Industrial Park in 2011 provided an important foundation for this transformation by bringing shipbuilding businesses together and encouraging industrial concentration.

However, the international shipbuilding market subsequently experienced significant adjustments, creating difficulties for local manufacturers in obtaining new orders, maintaining delivery schedules, and securing financing. In response to these challenges, Qidong began implementing a development strategy centered on replacing outdated growth models with more advanced industrial drivers.

Through enterprise restructuring, mergers and acquisitions, investment promotion, and the accelerated construction of major projects, the city gradually redirected its shipbuilding sector toward higher-value manufacturing and more sustainable development.

In recent years, local companies have become increasingly focused on improving the utilization of existing assets rather than expanding production capacity without sufficient market demand.

For example, CIMC Pacific Offshore acquired Fengshun Shipbuilding and established a western production area, creating a more integrated vessel manufacturing system. Because its eastern and western production bases are only about ten minutes apart by car, the company can coordinate operations more efficiently and save over 10 million yuan in transportation expenses annually.

Qidong COSCO Shipping Offshore has also invested in expanding its manufacturing capabilities. By constructing an additional workshop for ship block fabrication and introducing advanced robotic equipment, the company has addressed several constraints affecting digital production and manufacturing efficiency.

At the same time, Taisheng Landao has been accelerating research, development, and industrial application of critical technologies for deep-sea floating wind power foundations. Its investment in upgraded production facilities and advanced equipment is helping improve manufacturing efficiency and strengthen its technical capabilities.

The geographical footprint of Qidong's marine engineering industry is also expanding. Its development has progressed from riverside shipbuilding facilities toward coastal industrial bases, with manufacturing capabilities extending from relatively shallow waters into the ultra-deep-sea sector.

Taking advantage of its 185-kilometer coastline and approximately 45-square-kilometer port-adjacent industrial hinterland, Qidong is actively participating in the development of the Tong-Tai-Yang high-tech shipbuilding and marine equipment industrial cluster, which connects Nantong, Taizhou, and Yangzhou.

The development of Lüsi Port has attracted numerous upstream and downstream manufacturers, including Weihua Marine, Wison Offshore & Marine, and Haomai Heavy Industry. Their presence has helped reduce land acquisition, transportation, logistics, and supply chain costs while strengthening cooperation between related industries.

At present, the Lüsi Port Economic Development Zone has 20 projects under construction, with their combined investment exceeding 60 billion yuan.

After years of industrial development and technological accumulation, Qidong has successfully delivered a number of nationally significant marine engineering projects, including the Xinhai Xun. Its reputation as an important marine engineering and shipbuilding center has continued to grow, supported by three consecutive years of double-digit output growth.

In 2025, the city's marine engineering and shipbuilding industry generated an output value of 47.16 billion yuan, marking a year-on-year increase of 23.6%.

AI and Advanced Manufacturing: Digital Technologies Drive Industrial Transformation

Entering the production workshop of Jiangsu Weihua Marine Heavy Industry Co., Ltd., visitors can see production information displayed and updated across digital management systems. Equipment operating conditions, manufacturing schedules, and material transportation routes are monitored in real time, providing a comprehensive picture of factory operations.

By adopting Weihua Group's Industrial Internet Platform for the Hoisting and Logistics Equipment Industry, the company is developing a connected manufacturing system built around cloud computing and industrial applications. This approach enables information sharing and operational coordination throughout the entire production chain, covering product design, research and development, manufacturing, and after-sales services.

In the manufacturing of key structural components for marine cranes, Weihua is integrating artificial intelligence into an intelligent production framework that combines smart equipment, digital collaboration, and process simulation.

Sun Peng, Vice President of Jiangsu Weihua Marine Heavy Industry Co., Ltd., explained that the company's real-time quality monitoring and full-batch traceability systems allow it to meet the demanding precision and customization requirements of marine engineering equipment manufacturing. These digital improvements have helped the company reduce annual production costs by more than 2 million yuan.

Looking ahead, Weihua is accelerating the introduction of additional AI-based applications, including digital infrastructure management and intelligent energy systems, with the aim of further improving operational efficiency and unlocking the potential of smart manufacturing.

While Weihua uses cloud-based platforms to coordinate its production activities, Qidong COSCO SHIPPING Offshore Engineering Co., Ltd. is bringing artificial intelligence directly onto the workshop floor.

In its module manufacturing workshop, a compact intelligent welding robot, standing less than 60 centimeters tall, works alongside human employees. It can automatically recognize and adjust to more than 80 welding scenarios, accurately following weld seams and operating flexibly in complicated and confined working environments.

Traditionally, developing a highly skilled welder could require approximately three years of professional training. With the introduction of intelligent welding robots, however, new employees can become capable of operating the equipment after around two weeks of training. This significantly shortens the skills development period, improves production efficiency, and reduces the industry's long-term dependence on a limited supply of experienced welders.

Across Qidong's marine engineering and shipbuilding sector, digital and intelligent technologies are becoming increasingly integrated into every stage of industrial operations. The transformation is no longer limited to individual automated machines. Instead, it is expanding toward comprehensive digital management systems and interconnected intelligent manufacturing environments covering design, production, and enterprise management.

Haomai Heavy Industry, for instance, is developing a modern intelligent manufacturing facility for FPSO topside modules with internationally competitive capabilities. By combining digital management, automation, robotics, and digital twin technologies, the company is establishing a production model in which data coordinates manufacturing activities and intelligent machines carry out complex operations.

At Taisheng Landao, AI-supported knowledge management systems and digital twin applications are being used to optimize manufacturing processes and conduct comprehensive production simulations. These technologies help identify potential problems before actual manufacturing begins, improving both production efficiency and process reliability.

CCCC Third Harbor Engineering (Nantong) is pursuing another approach through its AI + Manufacturing strategy. The company has introduced an integrated development framework based on four interconnected levels: points, lines, planes, and volumes. Intelligent equipment serves as the foundation, individual machines are connected into coordinated production lines, and these production systems are integrated into a broader intelligent manufacturing environment. The result is more efficient manufacturing coordination and stronger supply chain collaboration.

Qidong's progress in intelligent manufacturing has also received institutional recognition. Three local companies have been certified as Intelligent Factories, while four enterprises have obtained recognition under the Three Firsts and Two News initiative, which covers first-of-its-kind equipment, new materials, first-version software, new technologies, and new products.

Alongside investments in advanced technology, the city is strengthening its skilled workforce. Through the Blue-Collar Craftsman development program, Qidong is expanding vocational training and encouraging cooperation among government authorities, enterprises, and educational institutions.

This collaborative talent development model is intended to provide the technical professionals needed for the industry's continued transformation.

In the coming years, Qidong plans to make greater use of its existing industrial advantages to attract supporting manufacturers, improve the completeness of its industrial chains, and strengthen the connection between workforce training and actual enterprise requirements. These efforts will provide additional momentum for the intelligent and high-quality development of the local manufacturing sector.

Building a Collaborative Industrial Ecosystem: Strengthening Supply Chain Integration

Recently, production activities at CIMC Pacific Offshore Engineering's shipyard have remained particularly busy.

The S1086, a 40,000-cubic-meter LPG and liquid ammonia carrier, has arrived at the dock for outfitting, equipment installation, and commissioning. Meanwhile, the S1123, a 20,000-cubic-meter LNG carrier and bunkering vessel, has completed its slipway-mounting ceremony and moved into the assembly stage.

The company has secured nearly 10 billion yuan in shipbuilding orders this year, with its production and delivery schedule extending through 2029.

Behind this strong order performance is the company's strategic approach to resource integration and industrial cooperation within Qidong's marine engineering sector.

Approximately 10 kilometers from CIMC Pacific Offshore Engineering is Qidong Qianyao Heavy Industry Co., Ltd., an important supporting production facility for vessels such as container ships and refrigerated cargo ships.

According to Yan Kai, Head of the Project Management Department at CIMC Pacific Offshore & Engineering, the two companies began working together in 2024. Under their cooperation arrangement, CIMC Pacific is responsible for project management, while Qianyao provides the necessary workforce and manufacturing resources.

This partnership allows CIMC Pacific to expand its production capabilities without taking on the full financial burden and operational risks associated with additional heavy-asset investment. At the same time, Qianyao benefits from a stable source of manufacturing orders, creating advantages for both companies.

Such cooperation has become increasingly common throughout Qidong's marine engineering industrial chain.

For example, the 1,550-cubic-meter nickel-steel bilobe LNG storage tank installed on the Xinhai Xun, a vessel constructed by Qidong Zhenhua Offshore Engineering, was manufactured by CIMC Pacific Offshore & Engineering.

CCCC Third Harbor Engineering (Nantong) and Huazi Energy Engineering have also established a strategic cooperation agreement under which the two companies will serve as production bases for one another. Their collaboration covers products such as jacket pipe piles, steel cylinders, and port machinery components.

In another project, Huazi Energy Engineering manufactured a Type-A tank, No. 3, for Qidong COSCO, with delivery scheduled for the current month.

These examples demonstrate that cooperation among local enterprises is evolving beyond individual project contracts. Companies are increasingly sharing manufacturing resources, supporting one another's production requirements, and establishing long-term partnerships that strengthen the entire industrial chain.

Industrial collaboration is also extending beyond the traditional riverside manufacturing areas.

In recent years, the Lüsi Port Economic Development Zone has accelerated efforts to establish a comprehensive marine engineering and shipbuilding industrial cluster. Industrial coordination has been incorporated into its development strategy, encouraging manufacturers, equipment suppliers, and supporting businesses to establish operations in close proximity.

A recent example is the successful completion of a heavy-load test for a large gantry crane produced by Jiangsu Weihua Marine Heavy Industry.

The crane has a lifting capacity of 2,400 tons, a rail span of 200 meters, and an overall weight of 7,200 tons. Its completion represents an important achievement for Weihua Marine, as it is the largest lifting equipment project undertaken by the company to date.

The equipment was manufactured for the Qidong production base of Wison Clean Energy, located less than two kilometers from Weihua Marine.

This geographical proximity creates considerable advantages. Large equipment can be transported more conveniently, logistics expenses can be reduced, and communication between the manufacturer and customer becomes more efficient. It also makes equipment installation, commissioning, and subsequent technical adjustments easier to coordinate.

The partnership has generated benefits for both companies. Wison Clean Energy can strengthen its manufacturing capacity through convenient access to major lifting equipment, while Weihua Marine gains additional business opportunities and a more stable customer base.

Previous cooperation projects further demonstrate the value of this industrial relationship. Weihua Marine supplied a 3,000-ton gantry crane for Hailong Wind Power and subsequently delivered a 3,600-ton crane for Haili Wind Power.

Cui Peng, head of Jiangsu Weihua Marine, noted that approximately 90% of the enterprises currently under construction within the industrial park are using Weihua's products.

This level of market penetration highlights the advantages of building an industrial ecosystem in which manufacturers and supporting suppliers operate in close coordination.

From the revitalization of existing shipbuilding facilities to the adoption of artificial intelligence, from advanced marine equipment manufacturing to increasingly integrated supply chains, Qidong is steadily strengthening the foundations of its marine engineering and shipbuilding industry.

The city's development strategy is shifting toward higher technological capabilities, improved production efficiency, stronger industrial coordination, and more effective talent development.

By continuing to promote enterprise cooperation, attract supporting projects, and accelerate intelligent manufacturing, Qidong is building a more competitive marine engineering industrial cluster. With these combined advantages, its shipbuilding and offshore engineering sector is positioned to pursue further growth and establish an even stronger presence in the global maritime equipment market.

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Jiangsu Mancheng Machinery & Equipment Co., Ltd.