NASSCO and DSEC sign agreement for newbuildings

General Dynamics NASSCO, a wholly owned subsidiary of General Dynamics, and Daewoo Ship Engineering Company (DSEC), a wholly owned subsidiary of Daewoo Shipbuilding and Marine Engineering (DSME) based in Busan, Korea, announced a formal teaming agreement to build ships for the U.S. market under the Jones Act. The Jones Act, among its many provisions, requires ships that carry cargo between U.S. ports to be built in the United States.

Under the agreement, DSEC will provide the detail designs, support services and some of the material necessary for the production of nine 49,000 dwt product carriers. NASSCO will also procure material and will provide the labour and facilities to construct the ships at its yard. The agreement will be valid until 2012 and total value is $ 260 million.

DSEC was founded to contribute to the shipbuilding industry in accordance with the global network business plan of DSME. It supplies an integrated shipbuilding engineering package that is composed of ship design, procurement and inspection services to overseas shipyards, based on DSME?s experience.