MAN Energy Solutions and Cosco Shipping Heavy Industry Co Ltd (CHI) have signed a strategic framework agreement aimed at accelerating the decarbonisation of the global maritime fleet through large-scale retrofitting projects.
Under the agreement, the two companies will collaborate on retrofitting vessels to operate on alternative, environmentally sustainable fuels such as methane, methanol, and ammonia—fuels that can be produced using renewable energy through power-to-X technologies. MAN will contribute its advanced engine retrofit technologies and digital energy-efficiency systems, while CHI will provide its extensive engineering, procurement, and ship modification expertise.
With five shipyards under its umbrella, CHI possesses the capacity to repair and retrofit approximately 1,500 ships annually, making it one of the most capable partners in the global ship repair and conversion market.
Michael Petersen, Senior Vice President and head of Primeserv Denmark at MAN Energy Solutions, emphasized the scale and significance of the collaboration. “This frame agreement facilitates MAN Energy Solutions’ partnership with CHI, one of the largest repair yard groups in the world. It enables us to join forces on many future projects aimed at decarbonising the existing commercial fleet. Today, there are around 4,500 vessels globally that could benefit from converting to cleaner bunker fuels,” he said.
Guo Zhiqiang, Deputy General Manager of CHI’s Commercial Headquarters, highlighted the shared commitment of both companies. “CHI and MAN Energy Solutions, having already served shared clients independently, are now forming a closer alliance to support vessel decarbonisation. Our integrated, one-stop solutions will inject new momentum into the green transition of the global maritime industry,” he said.
The move comes amid rising costs for new vessels and long lead times for deliveries, prompting MAN to advocate for retrofitting as a more economical and sustainable solution. The company argues that engine conversions on existing ships offer a practical path to lowering emissions without the financial and time burdens of newbuilds.
The partnership is already taking shape, with MAN and CHI jointly working on two major engine retrofit projects for containership operators.