The largest shipbuilding company in China, the China Rongsheng Heavy Industries Group Holding Ltd., reported last month it had a net loss in the first half and said it was seeking financial support from the government and shareholders, after experiencing a large decrease in orders continued to put a strain on the company's cash flow. The company has also agreed to issue convertible bonds to raise a net $178 million for working capital and to support the development of its offshore engineering business. The State Council's plan also encourages local governments to:
- support shipbuilders’ innovation,
- strictly control new capacity,
- promote high-end products and
- stabilize the industry’s international market share with greater funding support.