Dec. 15 (Asia Today) — Japan’s shipbuilding industry is moving to rebuild after a prolonged slump, with the government establishing a 1 trillion yen ($6.42 billion) support fund and preparing a mid- to long-term industrial strategy dubbed the “Shipbuilding Revitalization Roadmap,” according to the report.
Tokyo is also promoting an “All Japan” framework that links the shipping and shipbuilding sectors, redefining shipbuilding as a national strategic industry. The shift is being closely watched by South Korea’s shipbuilders as Japan seeks a policy-driven pivot after its presence weakened amid aggressive competition from China and South Korea.
Japan was a global shipbuilding powerhouse in the early 1970s, accounting for about half of worldwide shipbuilding volume. After the oil crisis, however, large-scale facility investment largely stalled for more than 50 years due to volatility in shipping markets and uncertainty in ship demand. During that period, South Korea and China rose to the center of global shipbuilding through government-led investment and support, the report said.
Japan’s share of global merchant-ship orders remains in the single digits, the report added. The rebuilding drive stems from a growing view in government and industry that shipbuilding is not only a competitiveness issue but also a matter of national infrastructure.
The initiative goes beyond financial injections for individual companies, the report said. The government has set a goal of doubling annual shipbuilding volume over the next decade, while prioritizing a stronger production base and the recovery of technological and design capabilities.
A key feature is an effort to tighten coordination between shipbuilders and shipping lines. The report pointed to agreements between major shipping groups and shipbuilding and design firms to standardize designs for next-generation fuel vessels, aiming to link domestic industries from the ordering stage through operations and improve competitiveness.
The approach differs from South Korea’s export-driven shipbuilding model,which competes globally for orders from shipowners, the report said. Japan, bycontrast, is positioning its alliance with domestic shipping as a core pillarof its industrial strategy.
While South Korea already holds top-tier competitiveness and leads globalorders in high-value-added vessel types, Japan’s current move reflects a changein national-level perceptions of shipbuilding, the report argued.
Japan is framing shipbuilding not simply as an export industry but as afoundational sector supporting maritime logistics, citizens’ livelihoods,economic activity and national security. The policy push raises questions abouthow the state can ensure the industry’s sustainability despite its cyclicalvolatility, the report said.
It remains too early to judge whether Japan’s reconstruction drive will deliver tangible results. But the report said the Japanese government and industry have returned shipbuilding to the center of national strategy – a signal that the East Asian shipbuilding landscape may be shifting again.
-Reported by Asia Today; translated by UPI
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