Italian shipbuilder Fincantieri Signs $1.5 billion Carnival Corp Deal

Carnival Corp signed a ship building deal with Italian shipbuilder Fincantieri  for two cruise ships designed specifically for the tastes of the Chinese travelers and will sail in the China market.

The agreement to build the cruise ships, the first cruise ships to be built in China for the domestic market, comes five months after the companies signed a non-binding deal.

Carnival’s Chinese joint venture will operate the ships and the agreement also includes an option to build four more cruise ships.

The two new cruise ships are set to be delivered six years from now,  in 2023.

China is going to become the world’s second largest cruise market by 2030. The Chinese cruise market is expected to expand another 3.5 million cruise ship passengers by 2020 from the current one million cruise ship passengers now.

The companies signed the deal in a ceremony attended by Chinese President Xi Jinping and Italian President Sergio Mattarella in Beijing.

The signing ceremony was attended by Carnival Asia Chief Executive Michael Thamm, Chinese President Xi Jinping and Italian President Sergio Mattarella in Beijing.