China Cosco Shipping’s shipbuilding and maintenance subsidiary, Cosco Shipping Heavy Industry, has completed its initial public offering (IPO) registration, signaling plans for a domestic stock market debut aimed at leveraging a surging global shipbuilding market. The unit, wholly owned by state-controlled China Cosco Shipping and headquartered in Shanghai, specializes in building and servicing cargo and container vessels, as well as providing ship repair, conversion, and offshore engineering services.
Cosco Shipping Heavy Industry operates nine shipyards located in Shanghai, Nantong, Dalian, and southern China. It holds a significant position in the ship repair and conversion sector, particularly converting vessels into floating facilities for offshore oil and gas operations. In 2024, the company reported operating revenue of nearly 40 billion yuan (approximately HK$46.7 billion) and profits of around 3 billion yuan. Its revenue rose by 22% in 2025.
During 2025, the company secured new orders for 79 vessels valued at 41.3 billion yuan and delivered 62 ships with a combined deadweight tonnage (DWT) of 6.31 million. By the end of that year, its order book included 216 vessels totaling 24.77 million DWT.
This IPO move comes amid a global upswing in shipbuilding demand, driven in part by ongoing geopolitical tensions and supply chain adjustments. Despite disruptions to transit through the Strait of Hormuz, deliveries continue to fall short of robust market demand. According to maritime consultancy Clarksons, global newbuilding orders in the first half of 2026 reached 137.4 million DWT, a surge of more than 125% compared with the same period a year earlier.
Chinese shipbuilders have maintained dominance in the global market, supported by integrated industrial chains, advancements in green technologies, and efficient production capabilities. Data from the China Association of the National Shipbuilding Industry indicated that Chinese shipyards accounted for 66.8% of the global order book in 2025. For the first half of 2026, orders in Chinese shipyards grew 54.9% year on year to 363.25 million DWT. New orders alone increased by 173% year on year to 121.06 million DWT, according to the Chinese Ministry of Industry and Information Technology.
China remains the leading recipient of global new orders for the three main vessel categories: bulk carriers, container ships, and oil tankers. Executives at Cosco Shipping cited that the US-Israel military conflict involving Iran and related efforts by shipping operators to avoid the Middle East’s strategic chokepoint by rerouting along longer paths have further stimulated demand for larger vessels and multimodal logistics solutions.
Cosco Shipping itself is one of the world’s largest maritime logistics companies, formed in 2016 through the merger of Cosco Group and China Shipping Group. The planned IPO aligns with the Chinese government’s broader strategy to consolidate key industrial players into larger conglomerates to strengthen global competitiveness. In line with this approach, the China State Shipbuilding Corporation merged with China Shipbuilding Industry Corporation in 2025 in a deal valued at 115 billion yuan, creating CSSC Holdings, a flagship listed entity now valued at nearly 300 billion yuan.