Cosco receives $ 1.75 billion loan from China EximBank

By Finance

The state-owned China Cosco was granted a $ 1.75 billion loan by Export-Import Bank of China for the financing of 53 newbuildings, as reported by local media.

The newbuildings will feature semi-submersibles of 90, 000 DWT, oil tankers of 300, 000 DWT, containerships of 9, 400 TEU, and eco-friendly dry bulk carriers. The brand new vessels are scheduled to be built in Chinese shipyards.

The newbuildings will serve as replacements for some of the 100 dusty old ships that were sent to the scrapyard over the last couple of years, as stated by Cosco, the largest shipping conglomerate in China.

China EximBank’s latest deal with Cosco, which was agreed upon and signed on last Friday in Beijing, has totaled its shipping loans up to RMB580 billion ($ 93.4 billion) for 9, 637 vessels since the bank’s founding back in 1994.

The Chinese bank has generally aimed to steer a large portion of its financing towards the manufacturing of higher value and eco-friendly ships like LNG carriers, large containerships and high-specification offshore vessels.

China Cosco vessel