FURUNO ELECTRIC CO., LTD. Is pleased to announce that, on the 31st of May 2018, the contract has been signed by COSCO SHIPPING Technology CO., Ltd. (hence forward CS Tech), which is one of the group companies of China COSCO Shipping Corporation Limited (henceforward COSCO SHIPPING), a shipping company with the largest integrated shipping capacity in the world, HEISEI TRADING CO., LTD., and FURUNO to establish joint business venture.
Objective of establishing joint business venture
FURUNO, having regarded research and development, marketing as well as after-sales service provision as its core business field, has been engaged in business activities in the maritime industry via its distributor and service network encompassing over 80 countries worldwide. As the world’s largest shipping company, COSCO SHIPPING has built its “6+1” industrial clusters, covering shipping, logistics, finance, equipment manufacturing, shipping services, social services, and the “Internet Plus” business based on business model innovation. It ranks number one in the world in terms of its total fleet, dry bulk fleet, oil tanker fleet, specialized and general cargo fleet, aggregate throughput of container terminals, and global marine bunker sales. It also leads the world in terms of the container fleet and offshore engineering and equipment manufacturing. CS Tech, as a core technology enterprise under COSCO SHIPPING, is mainly engaged in the research, development, sales and system integration of intelligent transportation systems and the application of information technology in transportation and shipping business. Both companies have been seeking to build partnership where strengths of the companies can be fully mobilized with a view to further boost provision as well as co-development of navigation and communication equipment and systems in the medium to long term. This has led to the signing of the joint-venture contract. This joint-venture contract has been signed by both companies together with one of the FURUNO Distributors in the Chinese market, HEISEI TRADING CO., LTD.
After establishment of the consortium, it is envisaged that provision of the navigation and communication equipment and systems as well as related services for domestic and international shipping fleets as well as vessels in inland waterways will be furthered gradually. Also, future research possibilities with respect to safer, more secure and efficient ship operation will be looked into.
Details of the consortium
||COSCO SHIPPING FURUNO Navigation Technology (Shanghai) Co., Ltd.
||China（Shanghai） Pilot Free Trade Zone Shenjianong Road No. 738, Floor 6
|Scope of business activities
||Technical research, development, design, manufacturing, system integration, distribution and service provision for maritime navigation and communication equipment and systems
||RMB 30,000,000- (approx. JPY 500,000,000- with an exchange rate of 17 yen to RMB)
|Account Closing Month
|Capital Contribution Ratio
||COSCO SHIPPING Technology CO., Ltd.: 50 %
FURUNO ELECTRIC CO., LTD.: 40 %
HEISEI TRADING CO., LTD.: 10 %
|Business’ Commencement Date
(from left to right) Yukio Furuno, President of FURUNO, Mr. Cai Huixing, Chairman of CS Tech, and Mr. Tomohiro Imae, President of Heisei Trading.
(from left to right) Mr. Cai Huixing, Chairman of CS Tech, Yukio Furuno, President of FURUNO, Mr. Xu Lirong, Chairman and Secretary of Party Committee of COSCO SHIPPING , and Mr. Tomohiro Imae, President of Heisei Trading.