MHI to Launch Discussions toward Forming Alliances with Three Domestic Shipbuilders
-- Initiative Aimed at Strengthening Competitiveness in Global Markets --

In line with this emerging awareness, MHI is about to launch discussions toward forming new alliances with three domestic companies - Imabari Shipbuilding Co., Ltd., Oshima Shipbuilding Co., Ltd. and Namura Shipbuilding Co., Ltd. - that share this awareness and offer strong potential as mutually complementary, synergy-generating partners that would collectively provide Japan's commercial ship industry with robust global competitive strength. The move toward forming these alliances targets the integration of MHI’s strengths in shipbuilding technology and engineering with the three prospective partners' manufacturing capabilities and cost competitiveness. By combining these strengths, the alliances would boost ship development capabilities, enhance negotiation response, and enable further cost reductions, thereby accelerating the buildup of competitive strength in the global market. Following the impending discussions, MHI will announce the content of any concluded alliance agreements once details have been worked out.

MHI is also to begin considering the establishment of a technology center to undertake advanced technology development and education in shipbuilding technologies and skills. Establishment of the new facility would target the creation of new basic technology and human resources development to disseminate Japan's commercial ship technologies globally, as a way of carrying on and further developing Japan's shipbuilding technologies applying MHI's resources in commercial ship technology. Going forward, MHI plans to issue a broad call for participation in the technology center by Japanese shipbuilders, marine transport companies, etc., with the aim of elevating the global presence of Japan's shipbuilding industry through integration of the diversified knowledge possessed by partners in the industry.

Concerning MHI's cruise ship construction business, the findings reached by an internal evaluation committee are now being compiled and will be announced in October.