China’s State Council Urges Credit Support for Shipbuilders

China issued a three-year plan to urge financial institutions to support its troubled shipbuilding industry, the world’s biggest, one month after the nation’s largest private yard sought government financial support.

Ship owners placing orders for China-made vessels, engines and some main parts should get better funding and some key companies will be allowed to issue corporate bonds, the State Council said in a statement released yesterday. Chinese shipbuilders don’t have strong innovation, while overcapacity persists, the statement dated July 31 said.