Joint venture Wärstilä Corporation - It lowers It are Shipbuilding Corporation in the field of the two-stroke engines



The Finnish group Wärstilä Corporation and the Chinese group Lower Are Shipbuilding Corporation (CSSC) have signed an agreement in order to constitute joint venture participated respective to 30% and 70% in which they will meet the activities of the nordeuropeo group in the field of the two-stroke engines.

The new society, than on behalf of CSSC will be participated by branch CSSC Investment and Development Co., will take care of technological development let alone of the activities of marketing, sale and service (these last ones will continue to being under the responsibility of Wärstilä Services). The value of the transaction, than is previewed will be capacity to term in the first trimester of the next year, piles to about 46 million euros.

Joint venture will have registered office in Switzerland and its headquarters will be installed to Winterthur in the offices that currently accommodate the center of the division of the two-stroke engines of Wärtsilä.

Wärstilä Corporation and China Are been Shipbuilding Corporation have explained that the objective of the partnership is to together put the strengths of the two partner, that they are both companies of first floor of the industry of the shipping. In particular, CSSC, that it is the main navalmeccanico group of China, will meanwhile accelerate own increase in the more important Asian markets maintaining the own primary role in the within of international the marine industry, while Wärstilä will strengthen own position in the segment of the technology to two times in the market of the marine engines.

"Optimally we have collaborated with CSSC for many years - it has declared senior the executive vice president Ship Power di Wärstilä, Jaakko Eskola - and are convinced that joining the forces we can satisfy in better way the requirements of our total customers. CSSC shares our vision for the future of the market of the marine engines to two times and considers that this agreement will so go for the benefit of both the parts as of the entire field of the shipping. Increasing the sales volume of Wärstilä engines to two times - Eskola has explained - the product development could be accelerated and new complex solutions for the engines could be introduced on the market more quickly regarding before".

"We are very pleased - has confirmed vice-president of Lowers Is Shipbuilding Corporation, Wu Qiang - than this agreement is signed and we are anxious to work to tight contact with Wärstilä in this joint venture initiative of. Wärstilä - it has emphasized Qiang - is a company that we admire as technological leader and as a supplier who, with its produced ones, has offered economic and environmental benefits to the shipowners and to the operators".

While the Finnish group has closed the second trimester of this year with an increase of the economic results against an light bending of the volume of transactions: the period has been archived item with a profit before taxes and an operating profit pairs respective to 109 million and 122 million euros, with increments of +5% and +10% on the period April-june of 2013. The turnover clearly has been attested to 1,13 billion euros (- 2%). In according to trimester of the 2014 group it has confiscated new orders for a total of 1,16 billion euros (+9%). The single division Ship Power, than takes care of the planning, realization and maintenance of marine engines and other equipment for the industry of the shipping, has recorded new orders for 409 million euros (+6%) and a turnover clearly of 431 million euros (+35%).

In the first semester of the 2014 Wärstilä it has totaled a turnover clearly of 2,14 billion euros, with an increment of +5% regarding 2,03 billion euros in the first half last year. The operating profit has been of 212 million euros (+17%) and the profit before taxes of 190 million euros (- 5%). In the first six months of the 2014 group it has confiscated new orders for 2,30 billion euros (- 5%), of which 875 million euros by the single division of naval propulsion (+6%). The value of the orderbook of the group on 30 June was pairs to 4,55 billion euros, down of the -4% regarding on June 30, 2013, and that of the single division Ship Power was pairs to 2,37 billion euros (+3%).