Daewoo to build blocks in China

Daewoo Shipbuilding & Marine Engineering will start building a factory in China next week to produce blocks for ships. The plant, located in the Chinese northeastern port city of Yantai in Shandong Province, is projected to have an annual production capacity of 50,000 tonnes of ship blocks, or steel structures comprising hulls.

Construction on the plant, into which Daewoo plans to inject $100 million, is scheduled for completion next year, company officials said. The company plans to increase the factory’s annual capacity to 200,000 tonnes in the long-term. Daewoo’s wholly-owned subsidiary in China, DSME Shandong Co., will be in charge of managing the new factory.