The Danish company “Odense Steel Shipyard”, which managed “Baltija” shipyard before, is currently being liquidated.

“Odense Steel Shipyard” failed the competition with the South East Asian shipyards. Although the company put huge efforts to stay in the market, neither did new technologies, nor production modernization help the company compete with Chinese companies.

The Danes not only sold “Baltija” shipyard shares, but also began to lay off “Odense Steel Shipyard” employees.

This week the company is going to lay off 285 employees. This is the company’s first big release. The company, which built the largest “Maersk” container ship a few years ago, had over 2,500 employees.

“Odense Steel Shipyard” will completely be closed in 2012, when the Danish Navy will have three frigates constructed. By November 2011, the company has to complete the construction order for seven ro ro class ships.

While “Odense Steel Shipyard” will be carrying out the orders, “Baltija” shipyard will supply blocks. “Odense Steel Shipyard” is one of “Lindo” compound companies, belonging to “A.P. Moller – Maersk” Group. Unit chairman Lars-Erik Brenoe argued that by decreasing in shipbuilding orders, the commercial organization “Lindo Industrial Services” will increase its activities in the shipyard territory. It operates the pier and cranes that are suitable for mooring cargo and vessels, it possesses lease contracts for marine pontoons, and it practices heavy cargo transportation, metal processing, and pipe manufacturing.