China's largest shipbuilding company has selected Hong Kong for its new regional operation overseeing its South East Asian markets.

Welcoming the China Shipbuilding Industry Corporation's decision, Director-General of Investment Promotion Mike Rowse said its choice confirms the leading position of Hong Kong as an international shipping centre.

Operating as China Shipbuilding & Offshore International (HK), the new operation is wholly owned by the subsidiary. Xu Ziqui, its chairman and president, said Hong Kong's shipping sector has played a very important role in the development of China's shipbuilding industries.

"Hong Kong is one of the world's largest trading and shipping centres. With its strategic location in the heart of Asia, the Hong Kong office will play a key role in connecting the company's network in the region," he said.

"The new office will also enable us to operate more closely with the Hong Kong shipping sector to tap the huge business opportunities brought along by rapid economic growth on the Mainland."

He said Hong Kong's advantages combined with the company's solid foundation will strengthen competitiveness in the global arena.