Nantong, located in one of China’s main shipbuilding provinces Jiangsu, has earmarked the RMB40m to support local shipyards in securing newbuilding orders and in purchasing equipment domestically.

Shipbuilders will receive a RMB10,000 subsidy for every 10,000 dwt in capacity of confirmed newbuilding order, local media reported.

In addition, shipyards buying marine equipment from the domestic market will receive a 2% rebate each year from the annual purchase amount, with a maximum subsidy of RMB2m a year.

In 2013, Nantong government had provided subsidies worth a total of RMB10.27m to 12 shipyards for 21 projects, of which 14 are offshore jobs and seven are shipbuilding contracts.