An artist rendering of China Merchants Industry Holdings Co's No 2 yard for cruise ships in Haimen [Photo/ntjoy.com]

Construction started on China Merchants Industry Holdings Co's No 2 yard for cruise ships and an relevant industrial park on Dec 22 in Haimen, a county-level city in Nantong, East China's Jiangsu province, according to local officials.

The shipyard will be 400 meters long, 39.8 m wide and 15.5 m high. The construction is expected to take 24 months and cost 3 billion yuan ($429 million).

On completion, it will be the first indoor dry shipyard in China, equipped with intelligent manufacturing equipment, including an advanced laser welding line for sheet metal.

The cruise ship industrial park will cover just over 133 hectares and will be home to manufacturers of ship support facilities, such as modular cabinets, aluminum and glass products, furniture and entertainment facilities.

The park is expected to form a domestic supply chain for cruise ships, breaking the existing overseas monopoly.

Officials said the local government has attached great importance to the project, believing that it will inject a strong momentum into Haimen's shipping industry.

Officials said a series of preferential policies will be offered to promote the development of the marine engineering equipment industry and attract more skilled workers in the field.

The first Chinese-built cruise ship designed for polar trips was handed to US-based Sunstone Ships Inc on Sept 6 in Haimen, a milestone for the domestic shipping industry.