Group 1 - The Japanese shipbuilding industry is experiencing a boom, with a surge in dry dock orders and rising prices over the next three years. The industry's survival depends on forming alliances to challenge the dominance of Chinese and Korean companies [1] - The "Imabari Shipbuilding Maritime Exhibition" held in Imabari City attracted about 380 companies from 24 countries, marking a historical high in participation [3] - The 2024 newbuilding price index from Clarkson Research reached 189.2, up from 178.4 in 2023 and a 50% increase from the 2020 low. As of April, the backlog for Japanese shipbuilders was approximately 3.7 years [4] Group 2 - Japan's second-largest shipbuilding company, Japan Marine United (JMU), reported a consolidated net profit of 19.9 billion yen (approximately 138 million USD) for the fiscal year ending in March, a 5.4-fold increase from the previous year [5] - Mitsui Engineering & Shipbuilding, which has shifted focus from shipbuilding to marine engines and port cranes, reported a net profit of 39 billion yen, a year-on-year increase of about 60% [6] Group 3 - Japanese shipbuilders are losing global market share to Chinese and Korean competitors, with projections indicating that in 2024, Chinese shipyards will account for 69% of new ship orders, Korea 15%, and Japan only 7% [7] - Japanese companies have minimal participation in the liquefied natural gas (LNG) carrier market, which is technically challenging but highly profitable. In 2024, Korean companies are expected to have 56 LNG carrier orders, while Chinese companies will have 37 [7] - Since 2016, Japanese companies have received very few orders, with 60% coming from Korea and 40% from China. Industry insiders believe the competition for LNG carriers is already decided [7] Group 4 - To compete with China and Korea, the Japanese Ministry of Land, Infrastructure, Transport and Tourism is providing approximately 120 billion yen in investment subsidies to 16 companies aimed at developing zero-emission vessels using hydrogen and methanol fuels [8] - The "Frontier Solutions Marine Design Initiative," a joint project between Imabari Shipbuilding and Mitsubishi Heavy Industries, is furthering the all-Japan framework, including a project to develop liquefied CO2 carriers for carbon capture transportation [8] Group 5 - The involvement of three major shipping companies in the initiative represents significant progress, making it easier to secure orders for next-generation vessels. Simplified designs are expected to shorten delivery times and enhance shipyard revenues [10]