nuclear-news

Nuclear industry downturn in China

Chinese nuclear manufacturers are now dealing with overcapacity as the world nuclear industry enters a trough,

China can manufacture 12 nuclear reactors sets annually whereas the industry needs only 40 sets before 2020

Japan leak sent nuclear industry reeling,  2012-05-19, By Liu Yiyu (China Daily) Japan’s nuclear emergency of last year has left a mark on Chinese nuclear manufacturers, which have since seen billions of yuan worth of orders postponed, a senior industry official said.

“Work stalled on 14 of the 27 reactors that were under construction before Japan’s nuclear emergency, causing orders worth 50 billion yuan ($7.9 billion) to be delayed,” said Sui Yongbin, chief engineer of the China Machinery Industry Federation, an industrial organization that represents machinery manufacturers.

The country suspended giving approvals to nuclear projects for 14
months starting on March 16, 2011, in response to the nuclear leak
that occurred at a Japanese nuclear plant following the earthquake and
tsunami that struck the island country in the same month. Work on
recently approved projects was also stalled to give the government
time to conduct safety inspections.
Shanghai Electric Group Co Ltd, one of the three largest nuclear
equipment makers in China, said it received no orders in 2011…. The
engineer also warned that Chinese nuclear manufacturers are now
dealing with overcapacity as the world nuclear industry enters a
trough, adding that strong competition already exists among Chinese
manufacturers.
“Manufacturers can produce 20 pressure vessels every year and they are
competing with each other by offering lower prices,” Sui said. “In the
meantime, we are still importing certain key components from foreign
companies.”
China can manufacture 12 nuclear reactors sets annually whereas the industry needs only 40 sets before 2020, according to Sui.
He predicted the government will resume approving new nuclear projects
either at the end of this year or early next year and set a more
manageable goal of having 60 gigawatts of nuclear capacity by
2020…… http://www.chinadaily.com.cn/cndy/2012-05/19/content_15336014.htm

May 19, 2012 - Posted by Christina Macpherson | business and costs, China