Japan's government has decided to provide a total of ¥213.1 billion (approximately $1.8 billion) to three major shipbuilding companies in an effort to revive its shipbuilding industry, which has fallen behind South Korea and China.
According to reports from Japanese media, including the Nihon Keizai Shimbun, Yasushi Kaneko, the Minister of Land, Infrastructure, Transport and Tourism, announced at a press conference following a Cabinet meeting that the support will be distributed over the next ten years. This funding is part of a ¥350 billion 'Shipbuilding Revitalization Fund' aimed at supporting capital investments in the industry, with the funds earmarked for automation investments and research and development.
The support will allocate ¥113.8 billion to Imabari Shipbuilding and its group company, Tadotsu Shipbuilding, and ¥49.4 billion to Japan Marine United, the second-largest shipbuilder. Additionally, ¥49.9 billion will be provided to Namura Shipbuilding and its subsidiary, Hakodate Dock. Consequently, the total investment, including public and private contributions to these companies, is expected to reach approximately ¥600 billion.
Imabari Shipbuilding plans to use the funds to establish block and painting factories at its Marugame headquarters and Saijo plant, as well as to expand production capacity at its steel processing plant. The company also intends to introduce robots to enhance automation.
During the press conference, Kaneko emphasized, "Our efforts to revive the shipbuilding industry will finally begin."
The Japanese government aims to double its shipbuilding capacity to 18 million tons by 2035 compared to 2024 levels. To achieve this goal, it plans to invest approximately ¥1 trillion in the shipbuilding sector through public and private investments during this period, which includes the establishment of the Shipbuilding Revitalization Fund.
Once a 'shipbuilding kingdom' that held more than half of the global market share, Japan's prominence has diminished due to competition from latecomers like South Korea and China. According to global maritime research firm Clarkson, as of 2025, China is expected to maintain a 63% share of the global shipbuilding market, followed by South Korea at 21%, while Japan's share remains in the single digits.
* This article has been translated by AI.
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