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CWEC commences factory construction in China

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LNG Industry,

CSSC Wärtsilä Engine (Shanghai) Co. Ltd (CWEC) – a joint venture (JV) between Wärtsilä and CSSC – has announced that it has commenced the construction of its new 20 000 m2 factory in Lingang, Shanghai, China. It will be the first factory in China capable of locally manufacturing large bore medium speed diesel and dual-fuel engines. Its local nature will also provide both CSSC Group and other Chinese yards with greater access to Wärtsilä’s range of engines, as well as improved delivery times and pricing.

In particular, CWEC will target offshore and LNG markets, which are both currently experiencing significant growth in China. Additionally, it will target the large container vessel industry.

Wärtsilä 26, Wärtsilä 32, Wärtsilä 34DF, and Wärtsilä 46F engines will all be produced at the new factory, and are expected to be ready for delivery by 2016. The factory is capable of producing 180 engines per year.

Following the ground breaking ceremony, CWEC and the Hudong Zhonghua and Shanghai Waigaoqia (SWS) shipyards signed strategic cooperation agreements, which will be crucial in the promotion of efficient ship design and solutions development. In addition to this, a letter of intent was signed with the SWS for the delivery of Wärtsilä Auxpac 32 generating sets for three large container ships, which are being built in the yard, in 2017.

The Senior Vice President, Engines, Wärtsilä Marine Solutions, Roger Holm, said: “It is an honour and a privilege to celebrate this latest milestone in our joint venture journey. By combining the strengths of our two companies; CSSC's strong capabilities as the number one ship builder in China and Wärtsilä's industry leading technologies, we can together make an important difference in today's challenging global marine market.”

Wu Qiang, the President of CSSC, said: “This is an important occasion for the shipping industry in China. The new factory will produce state-of-the-art marine engines that will serve our customers with value adding efficiencies. We are pleased to cooperate with Wärtsilä in this exciting JV.”

Edited from press release by David Rowlands

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