Vietnam's leading shipbuilder is currently facing the threat of bankruptcy. This situation has raised concerns within the industry and among stakeholders. It is imperative for the company to carefully assess its financial standing and explore potential solutions to avoid insolvency. The implications of such a significant event within the shipbuilding sector could have far-reaching effects on the local and global maritime industry. It is essential for all parties involved to closely monitor the developments and work towards a viable resolution.
Vietnam’s top shipbuilder, SBIC, formerly known as Vinashin, is set to be declared bankrupt after multiple efforts to restructure the sprawling company have failed.
The government in Hanoi is now working out the bankruptcy process for the state-owned entity whereby it will be able to continue to build ships.
Bankruptcy Process
The bankruptcy process is expected to be completed by the end of Q1.
Background
SBIC was formed in 2013 following a massive multi-billion dollar financial schedule at its former guise, Vinashin.
Vietnam's Shipbuilding Industry
Vietnam is the seventh largest shipbuilding nation in the world with SBIC responsible for more than 80% of the country’s ship output.
Summary
This development will undoubtedly have far-reaching implications for Vietnam's shipbuilding industry and the broader economy. As the bankruptcy process unfolds, stakeholders will be closely monitoring the situation and its potential impact on the country's maritime sector.
(This article is souced from Splash247.com curated by Thetransporteronline24)
