China Railway Shanhaiguan and GSI Sign Agreement to Manufacture Ship Hull Blocks

China Railway Shanhaiguan Bridge Group signed a framework agreement with Guangzhou Shipyard International (GSI), controlled by China State Shipbuilding Corporation (CSSC), for the subcontracted manufacturing of ship hull blocks. The agreement, signed on October 13, 2026, brings another major bridge manufacturer into the supply chain of China's commercial shipbuilding industry, as GSI expects demand for blocks to grow in the coming years as its order book advances.

Shanhaiguan Bridge Group, founded in 1894, specializes in steel structures for bridges and railway equipment and operates six production bases across China, according to Splash 247 and Financial Ports. Under the agreement, the company will allocate manufacturing resources to the production of hull blocks and will take on responsibilities for quality, safety and delivery schedule compliance. Neither the contract value nor the committed volume of work was disclosed by the parties.

Shanhaiguan's move follows two other cases recorded this year. In June, the Yangzhou subsidiary of China Railway Baoji Bridge Group began manufacturing hull blocks for a 73,000-dwt self-propelled deck carrier, whose cargo section comprises 110 blocks, the heaviest weighing approximately 190 tonnes; Jingjiang Nanyang Shipbuilding is coordinating construction, with China Classification Society overseeing technical and quality aspects. In September, Jingjiang Heavy Industry, another firm linked to bridge construction, began manufacturing blocks for a 40,400-dwt bulk carrier, with hold bottom sections weighing up to 96 tonnes that are transported to Shanghai for final assembly; the company has set up three open-air assembly lines and is targeting annual output of up to 100,000 tonnes of blocks, with the goal of eventually building complete vessels.

GSI reported earlier this year that its order book stood at around RMB100 billion, equivalent to about $14 billion according to Splash 247 and Financial Ports, with more than 95% of orders coming from international clients and production scheduled through 2030. Recent orders include 10 MR vessels for Greek owner Evangelos Pistiolis (Central Group), four additional units for Advantage Tankers, and dual-fuel LNG-powered car carriers for Global Car Carriers, controlled by MSC. In early September, China CSSC Holdings also reported contracts worth more than $1 billion for ten 8,200-CEU dual-fuel LNG-powered car carriers, with deliveries scheduled between 2029 and 2031, according to Xinde Marine News.

The agreement with Shanhaiguan is part of a broader expansion by GSI. In May, the company signed an agreement with Guangdong Port and Shipping Group to jointly develop a base at Xiaohudao, in Nansha District, Guangzhou, covering approximately 360,000 square meters. In September, construction began on a second project at Longxue North, also in Nansha, which, according to the three sources, will be fully operational by 2029 and will have the capacity to produce up to 18 vessels per year, including medium and large containerships, LR2 tankers and Panamax bulk carriers.