According to a report by the main China-based newspaper group People’s Daily on March 27th, China Shipbuilding Industry Company Limited (CSICL) is looking for ways to improve its upstream supply chain financing with Blockchain technologies.

CSICL – the incubation arm of the China-based shipping heavyweight CSIC – has agreed on a supply chain strategic cooperation deal with the Bank of Shanghai. The details of the deal include CSICL and Shanghai Bank jointly establish a new Blockchain-powered financing system, specifically used for upstream supplier.

This new platform is expected to offer supply chain financing solutions to CSIC’s top 10 primary product sectors: marine engineering, storage batteries, shipbuilding, turbochargers, tobacco machinery, diesel engines, large steel structure fabrications, port machinery, gas meters, and automation distribution systems.

The People’s Daily has further reported that the newly signed agreement is one of Shanghai Bank’s attempts at utilizing new technologies to enhance business protocols. In October 2019, the Shanghai Bank has introduced Uplink e-Chain – an online financial services platform developed by the bank itself to help deal with supply chain financial issues from small and medium businesses.

Blockchain technologies have been utilized by shipping firms all across the globe in many different supply chain types. In January 2019, Zim – an Israel-based major cargo shipping corporation – has launched a Blockchain-based platform for e-bills of lading to its customers in a few distinctive sectors. Back in February, a Blockchain-powered port operating system called Edge. Port was built by the Russian shipping logistics firm Baltika.