China’s yachts have been exported to over 100 countries and regions, but profits are mainly concentrated in the processing segment, with limited value-added space.
There is a severe shortage of professional technical talent, and the high customization of small-batch yacht components heavily relies on imports, driving up the overall manufacturing cost.
Designers lack systematic training and aesthetic literacy specific to yacht products, resulting in generally insufficient original design capabilities and a lack of distinctive brand identity.
Recently, at the 2025 Qingdao International Yacht Conference, Bao Jing, Deputy Secretary-General of the China Association of the National Shipbuilding Industry’s Boat Branch, offered suggestions for the high-quality development of China’s yacht manufacturing industry.
Relevant national authorities need to strengthen coordination in talent, manufacturing, policies, standards, and markets to promote the high-quality development of China’s yacht manufacturing industry, upgrading it toward low-carbon, intelligent, and high-value-added directions, and injecting Chinese elements into the global high-end yacht industry competition.
After years of development, China’s yacht industry has acquired full-process capabilities from design and manufacturing to delivery. Targeting the green and low-carbon development direction, some Chinese yacht companies have begun R&D and application testing of hybrid and electric propulsion systems, exploring the practical use of green and low-carbon technologies in small and medium-sized yachts. Meanwhile, some domestic yacht brands have piloted pure electric yachts in environmentally sensitive waters such as inland rivers and reservoirs, achieving initial market feedback. Some yacht companies have also collaborated with new energy vehicle industry chain enterprises in batteries, motors, and electronic controls to explore more mature system solutions for electric yachts.
However, China’s yacht manufacturing industry currently faces challenges such as an incomplete manufacturing system, weak industrial support infrastructure, small enterprise scale, insufficient cluster effects, limited brand recognition, and weak independent brand strength. At present, most yacht companies are small in scale. Although overall yacht production has increased, the industry remains fragmented, lacking leading enterprises to drive growth and a collaborative industrial ecosystem. Most companies operate independently, failing to form a modern manufacturing system centered on complete yacht enterprises with close upstream and downstream collaboration. Industrial concentration still lags significantly behind mature international markets. Additionally, domestic yacht brands have low international recognition, with most companies primarily engaged in OEM production. Exports are dominated by OEM, while independent brands face development “bottlenecks.” China’s yachts have been exported to over 100 countries and regions, but profits are mainly concentrated in the processing segment, with limited value-added space. The industry suffers from a severe shortage of professional technical talent and lacks systematic training in fiberglass technology, interior outfitting, and electromechanical integration, making it difficult to ensure product quality stability and consistency. Many yacht components, such as hardware, soft furnishings, navigation, and power systems, are small-batch and highly customized, heavily relying on imports, which raises overall manufacturing costs.
Moreover, most yacht designers in China transitioned from traditional commercial ship design, lacking systematic training and aesthetic literacy specific to yacht products. Original design capabilities are generally insufficient, with many products imitating foreign styles and lacking distinctive brand identity. In terms of design tools, China has yet to develop a composite capability system combining “artistic foundation + professional software” like foreign designers, making it difficult to meet the high demands of the mid-to-high-end market for aesthetics, interior layout, and space utilization.
From a policy perspective, China currently applies a mandatory inspection system similar to commercial ships to yachts, involving full-process supervision from design and drawing review to construction. The process is cumbersome, time-consuming, and inflexible, making it difficult to meet the personalized, diverse, and fast-delivery needs of yachts. Additionally, China imposes consumption tax and vessel tax on private yachts over 8 meters. This policy, established in 2006, no longer aligns with current national income levels and consumption structures. The low threshold categorizes many small and medium-sized entry-level yachts as “luxury goods,” hindering the cultivation of a mass market and the popularization of yacht consumption.
To address these challenges, Bao Jing suggests that China’s yacht manufacturing industry should improve its design talent training system and enhance independent innovation capabilities. Supporting universities in offering yacht design-related majors or specializations, encouraging qualified shipbuilding institutions to add yacht design courses, and strengthening education in artistic foundations, spatial layout, and fluid styling can help cultivate a composite talent system integrating artistic creativity, marine engineering, and 3D modeling. Encouraging companies to collaborate with domestic and international design institutions to establish yacht design innovation centers, introducing advanced international design concepts, and promoting original product development can elevate overall design standards and market competitiveness.
In terms of industrial development, Bao Jing recommends further strengthening the manufacturing system, enhancing industrial collaboration, solidifying the modern industrial foundation, and improving full-chain competitiveness. Establishing a collaborative industrial chain system, encouraging leading enterprises to spearhead yacht industrial parks, and building yacht industry clusters in regions with strong traditional shipbuilding foundations can promote upstream and downstream enterprise agglomeration, improving efficiency and scale effects. Supporting the integration of the yacht industry with cultural tourism and sports to create a “manufacturing + services” yacht economy ecosystem can drive dual growth in consumer markets and manufacturing capabilities.
On the policy front, Bao Jing suggests exploring a shift from construction process inspections to finished product certification for some private yachts, drawing on the EU’s CE certification and North America’s ABYC standards. Simplifying approval processes and improving delivery efficiency could be achieved by having yacht owners sign risk disclosure and quality responsibility agreements. Re-evaluating and revising the current yacht consumption tax policy, raising the threshold from 8 meters and setting price-based benchmarks in line with international practices, could guide the development of small and medium-sized yachts and transition them from “luxury goods” to “high-end durable goods.” Exploring phased preferential policies for domestic yacht consumption, such as purchase subsidies, loan interest discounts, and tax reductions, could stimulate consumer interest and foster a healthy, sustainable domestic market.
Bao Jing also emphasizes the need to advance standard system development to enhance international competitiveness. Encouraging industry associations and leading enterprises to align with international standards, accelerating the formulation and revision of Chinese yacht standards covering design, safety, environmental protection, and performance, and aligning with mainstream standards like ABYC and ISO are crucial. Supporting yacht manufacturers in participating in international yacht shows and industry forums can boost brand influence. Companies with the capacity should establish overseas display and after-sales centers in key markets like Southeast Asia and the Middle East, exploring a “global design + domestic manufacturing + worldwide sales” business model.
With increasingly stringent environmental regulations and the rise of green consumption, the yacht industry faces both pressure and opportunities for low-carbon transformation. Bao Jing proposes incorporating yacht electrification into the green ship development plan, offering policy support in R&D, product access, demonstration, and financial insurance, similar to new energy vehicles. Encouraging hybrid, pure electric, and hydrogen fuel propulsion systems, supporting charging infrastructure, establishing safety and technical standards for electric yachts, and providing fiscal incentives, green financing, and tax breaks for pilot enterprises can drive progress.
