Kawasaki to build LNG tankers in China

Japanese shipbuilder Kawasaki Heavy Industries Ltd plans to construct gas carriers abroad as it strives to lower costs and take market share from South Korean rivals.

At present currency levels, the company's Chinese ventures are more cost competitive than South Korean shipyards, Akio Murakami, head of Kawasaki Heavy's shipbuilding and offshore division, said in Tokyo.

"Our Chinese venture, Nacks, has built a variety of vessels so far, and LNG and LPG carriers are the only area that has yet to be handled," Murakami said in the June 13 interview, referring to liquefied natural gas and petroleum gas. "Once we get the first contract and deliver a good vessel, many orders will follow."