STX to build shipbuilding and block factories

STX will build shipbuilding and block factories in Liaoning, China, and has signed an MOU with the Chinese government to set up an investment plan for this project. STX is currently producing blocks totalling 450,000 tonnes per year and will require 700,000 tonnes by 2008. To meet this increase STX is considering building a block factory in China. In addition, STX will build a medium sized shipbuilding facility in Dalian to meet the demand for tankers.