Taiwanese yard shrugs off Zim's cancellations

Taipei: Taiwan International Shipbuilding has denied reports that its business had collapsed after a prominent shipping line from Israel had canceled its orders. Zim Integrated Shipping Services Ltd. did cancel a plan to buy six 1,700 teu ships from the company, but it still had more than 50 vessels left to build, vice general manager Wang Ko-hsuan told reporters. He promised there would be no layoffs for five years and no wage cuts.

The Kaohsiung-based former state-run company, once known as China Shipbuilding Corporation, said order books were still full until 2012. Media reports that it would have no ships left to build for 20 months starting from November were completely wrong, Wang said.

The company was looking for government orders and land-based projects, while deals with the Taiwanese navy were still under discussion, the official said. [20/04/09]

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