Taiwanese yacht builders have agreed with the city of Kaohsiung to create a new industrial hub that promises to benefit potential superyacht clients.

The plans include the development of a centralized yacht-building infrastructure called the Asia Luxury Sail Boat Development District.

John Lu, founder and CEO of superyacht builder Horizon Yachts who was pivotal in the negotiations says that although Chinese cities such as Shanghai, Qingdao and Shenzhen have offered investment incentives for Taiwanese yacht builders to relocate, he would prefer to keep his company in Kaohsiung.

“The Kaohsiung yacht industry is competitive as a cluster of builders,” he says Lu. “The Asia Luxury Sail Boat Development District could become the most complete and competitive yacht building area in the world.”

The district will be situated on a 105-hectare tidal land area and the Taiwanese government will contribute NT$5 billion (US$160 million) to the scheme.