Taiwan's China Shipbuilding Corp (CSBC) and China's Yangzijiang Shipbuilding Holding Ltd agreed Wednesday to build cargo ships together, DPA reported.
CSBC chairman Cheng Wen-lon and Yangzijiang chairman Ren Yuanlin signed the agreement at CSBC headquarters in Kaohsiung in southern Taiwan.
Under the pact, the companies would jointly build freighters for Taiwan, Chinese and international clients with CSBC supplying the designs and Yangzijiang providing the manpower and shipyards.
CSBC is Taiwan's largest shipbuilder with two shipyards. It has received enough orders from domestic and foreign shipping lines to keep it busy until 2013.
Yangzijiang, based in east-central China's Jiangsu province, is China's second-largest private shipbuilder.
Taiwan media reported that CSBC and Yangzijiang's agreement was aimed at winning international orders.