A Chinese government-backed shipbuilder Zhoushan Wuzhou Shipyard has been declared bankrupt by a local court in Zhejiang province, reports said. Zhoushan Intermediate People’s Court said it has accepted a filing by Zhejiang Shipping Group regarding the bankruptcy of Wuzhou Shipyard, one of its subsidiaries. The latest case makes Wuzhou Shipyard the first state-backed shipbuilder to go bankrupt, as China’s shipbuilding sector undergoes a severe recession. The local court has frozen the assets of Wuzhou Shipyard, which has accumulated debts of approximately RMB911m ($140.3m).
