PaintSquare.com
Follow us on Twitter Follow us on LinkedIn Like us on Facebook Follow us on Instagram Visit the TPC Store
Search the site

 

Advertisement

Safway Services


Coatings Industry News

Main News Page


Report: Philly Shipyard Could Close

Monday, May 14, 2018

More items for Program/Project Management
More items from North America

Comment | More

Philadelphia's Philly Shipyard (PSI) is facing yet more economic challenges and possible closure—the company’s order book is empty, and few are looking to buy new vessels.

This most recent downturn has prompted the shipyard to lay off 250 employees, according to The Inquirer, lowering its workforce total to 950 people. Currently, the shipyard is under the gun to complete two 850-foot-long cargo vessels for the Hawaii-Pacific market.

Layoffs and Economic Downturn

As the early 2019 completion date of the final ship draws near, layoffs are slated to continue—there is no new work scheduled. Yet according to Steinar Nerbovik, PSI's chief executive, the shipyard expects to post losses in 2018 and 2019. Nerbovik remains optimistic about the future, however.

Philly Shipyard’s future financial security relied on striking a deal with Tote Maritime for four new container ships, intended for Hawaii trade. The deal, which included $16.5 million in design work on part of the shipyard, fell apart in January, and the company is now looking for buyers.

Philly Shipyard, the majority shareholder of which is Norwegian holding company Aker ASA, specializes in producing vessels for the Jones Act market; this market requires cargo shipped between national ports, including the U.S. mainland, Hawaii, Alaska, Puerto Rico and Guam, to use American-made vessels, staffed by U.S. crews. As it stands, pickings are slim.

After the current work is completed for Matson Inc., “it would be challenging for Philly Shipyard to continue shipbuilding operations” if new orders don’t come in, noted PSI.

Currently, the shipyard is also exploring new markets, specifically focusing on specialized vessels including fishing trawlers, cable layers and ships needed for the offshore wind industry. The company is also working in collaboration with Fincantieri Marine Group and Vard Marine to engineer the newest heavy polar icebreaker for the U.S. Coast Guard.

Philly Shipyard was founded in 1997 by the City of Philadelphia, the state of Pennsylvania, the U.S. Government and the Kværner Shipbuilding Division on the site of the old Philadelphia Naval Shipyard, and was completely rebuilt from 1998 to 2000. The shipyard became part of Aker American Shipping in 2005. To date, the company has produced more than 50 percent of all Jones Act merchant ships.

   

Tagged categories: Business matters; Ships and vessels; Shipyards

Comment Join the Conversation:

Sign in to our community to add your comments.

Advertisements
 
SAFE Systems, Inc.
 
Portable Dust Collectors for Tough Environments
 
Trailer and skid-mounted models in numerous sizes, powered by electric and/or diesel. Sloped roofs, multiple dust inlets, high static, dampered fans. Lockable power & drive compartments.
 

 
Novatek Corporation
 
Dustless Coatings Removal
 
Novatek Corporation, Dustless Coatings Removal Strip, clean and profile all dust free! Comply with new lead standards. Contact today: (866) 563-7800 www.Novatekco.com
 

 
DeFelsko Corporation
 
PosiTector SST Soluble Salt Tester
 
Measures the concentration of soluble salts on metal surfaces. Use with all Bresle patch types including the reusable, adhesive-free PosiPatch.
 

 
Blastox/The TDJ Group, Inc.
 
Blastox® - One Step Lead Abatement
 
Sandblast additive delivered to jobsite pre-blended to eliminate hazardous abrasive wastes. Why mix, meter or apply at the job-site? Blast with ease and
Let your painters paint!
1(800)-252-7869
 

 
ARC / A.W. Chesterton Company
 
Corrosion Resistant Coating
 
ARC HT-S incorporates fine graded sizes of reinforcement which contributes to its excellent permeation resistance, resistance to cold-wall delamination, and resistance to thermal-mechanical shock
 

 
SEMicro Division, M.E. Taylor Engineering, Inc.
 
Stop Guessing the Classification Rating of Your Cross Hatch Adhesion Testing Results
 
SEMicro's newly-patented Adhesion Testing Analyzer takes the guesswork out of cross hatch tape adhesion testing standards such as ASTM D3359 and ISO 2409.
 

 
SABRE Autonomous Solutions
 
Productivity
 
Personnel are free to do other tasks while the ALPHA1 does the “dirty work”.
 

 
WINOA Group
 
Premium products for your blasting needs
 
Ready to use steel grit abrasives developed specially for air blasting applications.
 

 
KTA-Tator, Inc. - Corporate Office
 
New KTA Pipeline Inspection Kit
 
• Defelsko standard memory body
• Positector FTS 0-250 mils, cabled dry film thickness probe
• NEW Positector Shore D hardness probe
• All essential inspection equipment!
Visit www.ktagage.com
 

 
 
 

Technology Publishing Co., 1501 Reedsdale Street, Suite 2008, Pittsburgh, PA 15233

TEL 1-412-431-8300  • FAX  1-412-431-5428  •  EMAIL webmaster@paintsquare.com


The Technology Publishing Network

Durability + Design PaintSquare the Journal of Protective Coatings & Linings Paint BidTracker

 
EXPLORE:      JPCL   |   PaintSquare News   |   Interact   |   Buying Guides   |   Webinars   |   Resources   |   Classifieds
REGISTER AND SUBSCRIBE:      Free PaintSquare Registration   |   Subscribe to JPCL   |   Subscribe to PaintSquare News
MORE:      About PaintSquare.com   |   Privacy Policy   |   Terms & Conditions   |   Support   |   Site Map   |   Search   |   Contact Us