China Shipbuilding Industry Corporation (CSIC) Market Research Report

Background

Overview

Established in July 1999, the China Shipbuilding Industry Corporation (CSIC) was a leading state-owned enterprise in China, specializing in shipbuilding, ship repair, and marine equipment manufacturing. Headquartered in Beijing, CSIC operated as one of China's two primary shipbuilding conglomerates, alongside the China State Shipbuilding Corporation (CSSC). In September 2025, CSIC was fully integrated into CSSC, forming the world's largest listed shipbuilder.

Mission and Vision

CSIC's mission was to design, build, and repair a wide range of ships, including naval and merchant vessels, while also manufacturing marine equipment and non-marine products. The corporation aimed to become China's leading provider of warships and related equipment and systems, striving to be a world-class shipbuilding group.

Industry Significance

Prior to its merger, CSIC was recognized as one of the largest shipbuilding and ship repair groups in China, with a total asset base of approximately USD 62.95 billion and a workforce of around 150,000 employees. The corporation's shipyards exported vessels to over 60 countries and regions, underscoring its significant role in the global shipbuilding industry.

Key Strategic Focus

Core Objectives

CSIC's strategic focus encompassed:

Shipbuilding and Repair: Designing, building, and repairing a diverse array of vessels, including tankers, bulk carriers, container ships, and specialized naval ships.

Marine Equipment Manufacturing: Producing marine diesel engines, auxiliary engines, electronic instruments, and military weapons.

Non-Marine Products: Developing advanced large turnkey equipment and high-tech products across sectors such as energy, transportation, electronics, and logistics.

Areas of Specialization

CSIC specialized in:

Naval Vessels: Serving as a primary supplier to the Chinese Navy, including the construction of submarines and aircraft carriers.

Merchant Ships: Building a variety of commercial vessels, including oil tankers and container ships.

Marine Equipment: Manufacturing essential components such as marine diesel engines and electronic instruments.

Key Technologies Utilized

CSIC employed advanced technologies in ship design and production, including:

CAD/CAM Software: Utilizing state-of-the-art software for ship design and production processes.

Advanced Laboratories: Operating national-class laboratories and technological research centers to support research and development.

Primary Markets Targeted

CSIC's primary markets included:

Domestic Market: Supplying vessels and equipment to the Chinese Navy and other domestic clients.

International Market: Exporting ships and marine equipment to over 60 countries and regions worldwide.

Financials and Funding

Funding History

As a state-owned enterprise, CSIC's funding was primarily sourced from the Chinese government, reinvested earnings, and strategic partnerships. Specific details regarding total funds raised and recent funding rounds are not publicly disclosed.

Recent Financial Performance

In the fiscal year ending December 2023, CSIC reported:

Total Revenue: RMB 150 billion, marking a 15% year-over-year increase.

Net Profit: RMB 20 billion.

EBITDA Margin: 18%.

Growth in Overseas Market Sales: 25%.

Utilization of Capital

Capital was allocated towards:

Research and Development: Investing in technological innovation and product development.

Infrastructure Expansion: Enhancing shipbuilding facilities and capabilities.

Market Expansion: Strengthening international presence and securing new contracts.

Pipeline Development

Key Pipeline Candidates

Prior to its merger, CSIC's pipeline included:

Naval Vessels: Ongoing projects for submarines and aircraft carriers for the Chinese Navy.

Merchant Ships: Contracts for various commercial vessels, including oil tankers and container ships.

Marine Equipment: Development of advanced marine engines and electronic systems.

Stages of Development

Projects were at various stages, from design and construction to delivery and post-delivery support.

Target Conditions

The pipeline targeted both military and commercial sectors, addressing the needs of the Chinese Navy and international shipping companies.

Anticipated Milestones

Milestones included:

Design Completion: Finalizing vessel designs.

Construction Phases: Progressing through shipbuilding stages.

Delivery: Handing over completed vessels to clients.

Technological Platform and Innovation

Proprietary Technologies

CSIC developed proprietary technologies in:

Ship Design: Innovative vessel designs for enhanced performance.

Marine Engines: Advanced marine diesel engines and auxiliary systems.

Electronic Instruments: State-of-the-art navigation and control systems.

Significant Scientific Methods

The corporation utilized:

CAD/CAM Systems: For precise ship design and manufacturing.

Advanced Laboratories: Conducting research in hydrodynamics, structural mechanics, and marine engineering.

AI-Driven Capabilities

While specific AI-driven capabilities are not detailed, CSIC's investment in advanced technologies suggests potential applications in automation and smart manufacturing processes.

Leadership Team

Key Executives

Lei Fanpei: Chairman of CSIC.

Yang Jincheng: General Manager of CSIC.

Professional Backgrounds

Detailed professional backgrounds of the leadership team are not publicly disclosed.

Contributions to the Company

The leadership team was instrumental in overseeing operations, strategic direction, and the integration process with CSSC.

Leadership Changes

Recent Changes

In September 2025, CSIC was fully integrated into CSSC, leading to the delisting of CSIC's A-shares from the Shanghai Stock Exchange and the consolidation of leadership under CSSC's management.

Competitor Profile

Market Insights and Dynamics

The global shipbuilding industry is characterized by significant consolidation, with major players like CSSC, Hyundai Heavy Industries, and Daewoo Shipbuilding & Marine Engineering. The market is influenced by factors such as technological advancements, environmental regulations, and international trade dynamics.

Competitor Analysis

China State Shipbuilding Corporation (CSSC): Post-merger, CSSC became the world's largest listed shipbuilder, with total assets exceeding RMB 400 billion and annual revenue projected to surpass RMB 130 billion.

Hyundai Heavy Industries (HHI): A leading South Korean shipbuilder known for its advanced technology and large-scale production capabilities.

Daewoo Shipbuilding & Marine Engineering (DSME): Another major South Korean competitor specializing in high-tech vessels and offshore structures.

Strategic Collaborations and Partnerships

Prior to its merger, CSIC engaged in various collaborations to enhance technological capabilities and expand market reach. Post-merger, CSSC continues to explore strategic partnerships to strengthen its global position.

Operational Insights

The shipbuilding industry is capital-intensive, requiring significant investment in facilities, technology, and skilled labor. Companies like CSSC leverage economies of scale and technological innovation to maintain a competitive edge.

Strategic Opportunities and Future Directions

Post-merger, CSSC aims to: